Bitcoin Crashes: Dip To $65,000 Triggers Over $400 Million Liquidation Avalanche
March 16 2024 - 10:23PM
NEWSBTC
In a tumultuous turn of events, the cryptocurrency market has been
rattled by a sharp decline in Bitcoin prices. After a sustained
period of remarkable gains and record highs, Bitcoin has plunged to
a weekly low of $65,000, marking a significant setback for
investors. At the time of writing, Bitcoin numbers were all painted
in red, and trading at $65,710, losing value in the 24-hour and
weekly timeframes by 5.6% and 4.5%, respectively, according to data
from Coingecko. A few days after its previous low of $68,000,
Bitcoin plummeted to its present level, a figure not seen in a
week, as bears persisted in their downward pressure. Related
Reading: Bitcoin Miners Brace For Impact As Difficulty Reaches
Unprecedented Levels Bitcoin plunging in the last 24 hours. Source:
Coingecko. Altcoins Also Take A Beating While Bitcoin bears the
brunt of the downturn, altcoins are not spared from the fallout.
Ethereum (ETH) and Binance Coin (BNB) have also witnessed
substantial losses, shedding 10% of their value or more. Dogecoin
and Shiba Inu, two popular meme coins, have experienced even
steeper declines, plunging by 20% and nearly 30%, respectively. The
broader altcoin market mirrors Bitcoin’s downward trajectory,
amplifying the sense of unease among investors. BTC market cap
currently at $1.29 trillion. Chart: TradingView.com Bitcoin: Impact
On Market Dynamics The recent price correction in Bitcoin has
reverberated across the cryptocurrency landscape, reshaping market
dynamics and investor sentiment. The surge in liquidations, with
over 151,000 traders facing margin calls in the past 24 hours,
underscores the magnitude of the market upheaval. Bitcoin’s
dominance in the market is evident as it accounts for the lion’s
share of the total liquidations, highlighting its pivotal role in
shaping overall market trends. As a result of the decline in value,
the total market liquidations have reached $426 million, with
Bitcoin taking the worst hit. Liquidation Spree The amount that the
price of Bitcoin has liquidated over the last 24 hours has exceeded
$104 million, with long traders losing the most money—they lost $86
million compared to $18 million for short sellers. Ethereum saw a
$48 million overall liquidation, with $33 million going to long
traders and $15 million going to short traders, as a result of the
losing run. Analyst Sounds Alarm Siren Meanwhile, market analysts
such as Markus Thielen, CEO of 10x Research, have sounded the alarm
bells, warning of further downside risks for Bitcoin. Thielen’s
prediction of a potential drop to $63,000 sends a sobering message
to investors, urging caution and prudence in navigating the current
market environment. His insights shed light on underlying concerns
about Bitcoin’s market structure, including low trading volumes and
liquidity, which exacerbate the risk of sharp price corrections.
Amidst the market turbulence, investors are grappling with the
implications of Thielen’s analysis and adjusting their strategies
accordingly. The era of meme coin mania appears to be waning,
prompting investors to reassess their positions and secure profits
while they still can. Related Reading: Crypto Carnage: Over $800
Million Wiped Out In Market Plunge Featured image from Kinesis
Money, chart from TradingView
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