While the leading cryptocurrency Bitcoin experienced a sudden decline again this morning, the BTC price fell again to the level of $ 66,000.
While Ethereum (ETH) along with BTC dropped to $ 3,319 for a short time, QCP Capital analysts said that it was due to liquidations in the exchanges.
Stating that funding rates have increased to very high levels, analysts said that funding rates were effective in the recent decline.
“The options market and higher funding rates have once again given an early signal of a sharp downside move, particularly the downward trend in risk reversals.
Bitcoin broke $70 thousand and fell below $66 thousand. ETH traded as low as $3,320.
The pace of this decline was driven by massive liquidations on retail-heavy exchanges like Binance, where funding rates rose as high as 77%.
“These high levels and the recent decline bring spot prices back to the mid-range of $60-72 thousand.”
While the recent decline in Bitcoin left investors waiting for the rise in a tailspin, according to data from Coinglass, leveraged positions worth $ 394 million were liquidated in the last 24 hours. Of these, $312 million consisted of long positions and $81 million consisted of short positions.
While 120,310 investors were liquidated in the last 24 hours, the largest liquidation took place in the ETH / USD trading pair on the OKX exchange.
Bitcoin continues to trade at $66,930 at the time of writing.
*This is not investment advice.
