$BTC #BTCBreakATH

In a notable financial shift, bitcoin’s valuation underwent a sharp descent, plummeting from a peak of $106,294 to a lower bound of $99,462. This decline signals a significant alteration in the digital currency’s recent path.

Bitcoin’s Sudden Plunge Sparks Market Mayhem

The market capitalization of bitcoin (BTC) currently hovers around $1.98 trillion, mirroring the unexpected fluctuations within the cryptocurrency markets during bull runs. Around $135 million in BTC longs were wiped out across crypto derivatives markets. Approximately $902 million has been liquidated across the entire crypto economy. Some are calling the Trump inauguration pump a “sell the news” event. Others playfully stated that since this dump happened, “at least the inauguration can’t be [a] sell the news now.”

BTC/USD via Bitstamp on Jan. 19, 2025.

Trump, of course, has claimed credit for some of BTC’s price highs dubbing it the “Trump effect” in action. In the last 24 hours, bitcoin’s trading volume escalated to $78.49 billion. This heightened activity suggests that market participants are rapidly responding to these recent valuation shifts, perhaps seizing the opportunity provided by the price decrease or divesting their stakes to mitigate losses.