The cryptocurrency market took a sudden turn for the worse as Bitcoin (BTC) plummeted from $30,000 to $27,000 in less than an hour, leaving close to $200 million in liquidated leveraged positions in the past hour alone. While the bulls may have celebrated too early, it appears the bears have once again taken control.
According to recent reports, upwards of 90% of the liquidations in the past hour were longs, accounting for more than $157 million. Binance and OKX account for the majority of the volume, with 97% of the liquidations on Binance being leveraged long positions.
At the time of writing, BTC is trading at around $28,888, but the volatility is at extremes. As the market continues to experience turbulence, traders and investors are left wondering what the future holds for cryptocurrency.
The impact of this sudden drop was not limited to BTC alone, as the rest of the market took a beating as well. Ethereum (ETH) also experienced a dip, dropping down to $1,800.
This reinforces the idea that the cryptocurrency market is inherently volatile, and investors should always exercise caution.
This event serves as a reminder that despite the potential gains, investing in cryptocurrency is not without risk. The market is constantly changing, and even the most experienced traders can be caught off guard.
With that being said, it’s important to stay informed and remain vigilant, as the cryptocurrency market is likely to continue experiencing ups and downs in the future.