Crypto:
30188
Bitcoin:
$69.740
% 4.35
BTC Dominance:
%54.4
% 0.13
Market Cap:
$2.44 T
% 3.67
Fear & Greed:
74 / 100
Bitcoin:
$ 69.740
BTC Dominance:
% 54.4
Market Cap:
$2.44 T

Bitcoin Tumbles Below $68,000 After ATH, Volatility Triggers Long Liquidations

Bitcoin

The price of Bitcoin (BTC) took a sharp turn lower on Friday, falling below the $68,000 mark after reaching a record high above $73,000 just a day earlier. This significant price swing caused a spike in liquidations of leveraged Bitcoin positions.

Bitcoin Suffers 8% Drop in 24 Hours

Over the past 24 hours, the value of the leading cryptocurrency by market capitalization has dropped by more than 8%. As of 5:40 AM ET, Bitcoin is trading at $67,016.

Volatility Sparks Long Liquidations

The rapid price correction triggered a wave of liquidations on centralized exchanges, primarily impacting long positions. According to data from CoinGlass, over $278 million in Bitcoin positions were liquidated due to the volatility, with the majority (around $225 million) being long positions.

Ether and Solana See Mixed Results

The price of Ethereum (ETH), the second-largest cryptocurrency, also experienced an 8% decline over the past day, currently sitting at $3,662 (5:40 AM ET). However, Solana (SOL), the native token of the Solana blockchain, bucked the downtrend with a modest 0.5% gain in the same period, as per The Block’s Prices Page.

Liquidations Grip the Market

Looking at the broader crypto market, CoinGlass data reveals that over $667 million in long positions were liquidated in the last 24 hours. This contributed to a total liquidation volume of $809 million across various centralized exchanges.

What are Liquidations?

Liquidations occur when a trader using leverage experiences a margin call. This happens when a position moves against the trader, causing their initial margin or collateral to deplete. If they lack the necessary funds to cover the losses, the exchange forcibly closes their position to prevent further losses.

READ:  UK Court Sentences to Prison for Money Laundering with Bitcoin

Also, you can freely share your thoughts and comments about the topic in the comment section. Additionally, please follow us on our TelegramYouTube and Twitter channels for the latest news and updates.

Rate this post

Leave a Reply

Your email address will not be published. Required fields are marked *