Bitcoin and altcoins are seeing unusual volatility over the weekend and are experiencing a major decline. This decline deepened over the weekend, and at night BTC fell to its lowest levels of the last three weeks, namely $ 52,300.
While BTC decreased by 10.2% in the last 24 hours, Ethereum (ETH) decreased by 18.4%; BNB 15%; Solana (SOL) is down 10% and XRP is down 13%.
While altcoins experienced a major decline, only Tether Gold (XAUt) experienced a small increase.
830 Million Dollars Evaporated in the Last 24 Hours!
According to Coinglass data, while leveraged positions worth $831.2 million were liquidated in the last 24 hours, $720.3 million of this consisted of long positions and $110.9 million consisted of short positions.
The largest liquidation was seen in Ethereum with $308 million, followed by BTC with $249.2 million and Solana with $41.3 million.
While 214,149 investors were liquidated in the last 24 hours, the largest single liquidation occurred in the BTC/USD trading pair worth $27 million on the Huobi exchange.
Why Are Bitcoin and Altcoins Falling?
While there is a bloodbath in the cryptocurrency market, it is wondered what is behind this decline. At this point, analysts generally think that uncertainty in the US elections, fluctuations in interest rates, and tension and instability in the Middle East cause market volatility and anxiety among crypto investors.
While it is claimed that one of the most important reasons behind this decline is Jump Crypto, one of the largest companies in the industry, BitMEX co-founder Arthur Hayes also made a claim regarding the cause of the decline.
According to Hayes, behind the decline is a big sale by an investor.
Arthur Hayes, co-founder of the BitMEX crypto exchange, said in his X post that, according to what he heard, someone from the traditional finance (TradFi) sector has disposed of all its cryptocurrency assets.
“My TradFi birds are telling me that someone big is selling all their cryptocurrency holdings. I have no idea if this is true, I won't name names.”
My TradFi birdies are telling me somebody big got smoked, and is dumping all #crypto. No idea if this is true, I won't name names, but let the fam know if you are hearing the same?????
— Arthur Hayes (@CryptoHayes) August 5, 2024
*This is not investment advice.
