A general downward trend continues to take effect in the cryptocurrency market. Bitcoin price retreated from the $40,000 limit, where it had been resisting for days, and is trading at $39,600 at the time of writing this article.
Looking at the general picture, it was noted that the BTC price decreased by approximately 5% in the last 24 hours.
The situation is no different on the altcoin side, and many altcoins experienced declines at rates similar to Bitcoin.
The reason for the decline is the outflows from Grayscale's GBTC product and therefore the large amount of BTC sales. In today's developments, it was revealed that FTX's bankruptcy management has sold approximately $1 billion worth of BTC since GBTC turned into a spot ETF.
Grayscale's GBTC product now has 563,000 BTC after the sell-off, compared to 613,000 BTC before the spot ETF.
On the liquidation side, with the recent declines, a total of 65 million dollars of liquidation took place in the cryptocurrency market in the last hour. Of these, $63 million was in long positions and $2 million was in short positions.
$25 million of the liquidations in long positions took place in Bitcoin, $12 million in Ethereum, and $4 million in Solana.
*This is not investment advice.