Bitcoin, which has been on the rise for 8 weeks, started the new week with a decline.
Daily losses in BTC, which dropped to $ 40,500, exceeded 5 percent. BTC, which is currently trading at $ 41,900 with a recovery, moved the entire cryptocurrency market downwards.
Cryptocurrency Market Witnesses Sharp Decline, Liquidations Cross $350 Million
Although it is said that this decrease was made to liquidate the whales taking long positions on the Bitmex exchange, the exact reason for the decrease is unknown.
On the other hand, it was already expected that the price, which had been rising and swelling for 8 weeks, would make a correction at some point. Although the bear market is over or ending according to many experts, this does not mean that prices will always rise.
In bull markets, serious price declines and correction movements can also be seen.
Here are the highlights of the latest market movement:
Ethereum (ETH) Dropped Over 5%
Ethereum, one of the leading cryptocurrencies, witnessed a decline of over 5% in the last hour. The decline in ETH's value reflects the general bearish sentiment prevailing in the market.
Common Drops Among Altcoins
Many altcoins have faced significant losses in the last 24 hours. Tokens such as FLOW, CRO, APETHETA, XTZ, NEO, TON, KAVA and PYTH recorded declines exceeding 10%. The broad nature of the decline indicates a market-wide correction.
Total Liquidation Exceeded $400 Million
Market turmoil caused total liquidation to exceed $400 million within an hour. Investors and traders faced challenging conditions due to increased volatility in the market.
Long Orders Liquidated:
Long orders, reflecting investments in the upward movement of assets, encountered significant liquidations reaching $350 million. Liquidation of long positions may indicate widespread selling pressure and a change in market sentiment.
The latest market movement underscores the inherent volatility of the cryptocurrency space. While digital assets have gained widespread adoption and interest, their prices remain subject to rapid and significant fluctuations.
*This is not investment advice.