$BTC Liquidation

$460M Worth of BTC Long Positions Liquidated in Past 24H as Market Drop Flushes Excess Leverage.

Key Points:

Over $460M in Bitcoin long positions were liquidated in the past 24 hours

Market sentiment swings from extreme greed to neutral territory in just 30 days

Technical indicators point to an impending crash for Bitcoin if the price drops below $95K

Bitcoin’s latest drop has wiped out $460 million worth of long positions in the past 24 hours as market participants seem to have gotten a bit too excited about the post-election rally.

Nearly half of that amount was flushed out of the market in the past 4 hours according to data from CoinGlass. In total, over 217,000 traders were liquidated as a result of the latest weakness that the price of Bitcoin (BTC) has experienced in the past day.

Last week’s strong jobs report in the United States may have contributed to accelerate Bitcoin’s pullback. On Friday, the Bureau of Labor Statistics reported that 256,000 new jobs were created in December, exceeding by a long-shot the consensus estimate of 155,000 new positions for the period.

The price of Bitcoin has been retreating since last Tuesday when it traded above $100,000 for the last time. Since then, the cryptocurrency has booked an 11.4% drop while it is trading 16.4% below its all-time high of $108,364.

Traders may have gotten ahead of themselves lately and were apparently expecting a comeback for Bitcoin in the near as indicated by this significant 24-hour liquidation.

#Credit - Alejandro Arrieche

Published: Jan 13, 2025, 14:55 GM +00:00

Source - Fxempire.com