🔥🔥Cryptocurrency Liquidations Approach $1 Billion in a Day, Driving Down Prices of Bitcoin and Altcoins🔥🔥
A sudden drop in Bitcoin and other cryptocurrencies caused large liquidations on April 12. This broad price drop has several possible causes, including a recent US stock market slump.
Hourly Crypto Flash Crash Liquidates Nearly $500 Million
Bitcoin fell 4.49% to $66,052 last day, according to CoinMarketCap. As predicted, BTC's collapse affected the market, with Ethereum and Solana losing 8.12% and 12.16% daily, respectively.
Coinglass data shows that 277,843 traders lost leverage holdings as total crypto liquidations hit $877.21 million in the previous 24 hours. Traders lost $94.24 million on short positions and $782.98 million on long holdings.
As prices fell, $467 million in leverage positions were liquidated in an hour. The biggest liquidation order was $7.19 million in the ETH-USD market on OKX, while Binance had the most liquidations at $369.85 million.
The S&P 500 index fell 1.6% to $5,108, matching Bitcoin's price drop. In March, CPI data showed inflation rising to 3.5% year over year, before this market catastrophe.
Such reports simply suggest that the US Federal Reserve (Fed) may not reduce rates soon to lower inflation to its yearly objective of 2%. This prognosis is adverse for the crypto market since Fed rate reduction enable investors to comfortably pursue riskier assets like BTC with high payouts.
Bitcoin Network Grows As Halving Approaches
Positively, Bitcoin has more non-empty wallets before the April 19 Halving event. Santiment reported 370,000 more BTC wallets with active coins in the previous six days. The analytic team is encouraging investors to continue accumulating throughout the Bitcoin halving event.
Bitcoin traded at $66,882 with a 44.80% rise in daily trading volume to $43.80 billion. Bitcoin's price has fallen 1.33% and 6.20% in the previous seven and 30 days, respectively.
