Bitcoin's volatile ride from last week continues as Wednesday's rally completely faded on Thursday, leaving the cryptocurrency down 5% on the session and trading below $36,000.
Just 24 hours ago, Bitcoin was on the rise, poised to surpass $38,000 for the first time in over 18 months. However, as has been the trend over the past six weeks, sell orders were triggered near round levels, in this case, around $38,000. These orders triggered liquidations of leveraged long positions, resulting in a rapid price decline.
The two-day roller coaster ride in the crypto market had a significant impact on derivatives traders, liquidating approximately $340 million in leveraged positions during this period. The scenario reflects the volatile and sometimes unpredictable nature of cryptocurrencies, reminding investors of the importance of carefully managing risk in this exciting but volatile market.
