The Crypto market has been very volatile this past week, with Bitcoin momentarily dipping below $23K.
Liquidations have skyrocketed, with over $400 million on a daily scale. The price of BTC and other cryptocurrencies has been dropping dramatically. They’ve dropped over $200 million in just a few days.
The price of Bitcoin fluctuated wildly, with the cryptocurrency staying at a stable level for most parts but starting to lose value fast in recent hours. Before the price drop, it declined to $22,800 before another decrease took place and now sits comfortably below $21,500 on Bitstamp. The latter became the asset’s lowest price point in over three weeks.
As of now, the price for this cryptocurrency is close to $22,000. But with most other coins also deep in red territory, it might be a good idea not to invest heavily just yet.
Ethereum is down 5% and struggling at $1,750. The rest of the larger-cap altcoins have dumped more substantial percentages by double digits.
The prices of Cardano, Solana and other cryptocurrencies have dropped by 15% this week alone. The recent market volatility has led to major losses for leveraged traders.
At least $400 million worth of liquidations happened every day, with this number expected to grow even higher soon if things don’t improve quickly.
With Coinglass data, we can see that traders on Binance have been liquidating their positions for some time now. The total number of wrecks is almost 150,000; the largest order involved Ethereum (ETH).
BTC Analysis
The cryptocurrency market witnessed a sudden “turn” that caused the price of Bitcoin (BTC) to flash a dump to the milestone of $21,500. The 1H candle with a peak from $22,800 dumped straight down to $21,440 on Binance. Currently, BTC’s price is around $22,000, but the downward trend shows no sign of stopping.
ETH Analysis
Ethereum was also not immune to a sell-off from this massacre. ETH price once dumped as far as $1,723 on Binance, just a few steps away from the $1,700 milestone. In just 4 hours, $233 million of assets were liquidated, of which 87% were long orders. BTC orders were most liquidated with a total value of $110 million.
Crypto Market News
In terms of news, there hasn’t been much news in the crypto market lately. Ethereum’s The Merge event will close the calendar on September 15-16.
The shocking case surrounding the US listing of the Tornado Cash website on the sanctions list raises many questions about the community’s decentralization, and privacy
On the macro side, UK inflation rose to a 40-year high, contributing to growing concerns about a global recession.
Disclaimer: The author’s comments and recommendations are solely for educational and informative purposes. They do not represent any financial or investment advice. Always DYOR (do your own research)
