Bitcoin’s recent surge towards surpassing the psychologically significant $70,000 mark was met with a swift reversal, with the leading cryptocurrency experiencing a 5% decline to reach a low of $66,600. This volatile price movement at record highs triggered the liquidation of leveraged positions amounting to $240 million within a single hour of trading. Throughout the week, a staggering $1.2 billion worth of positions were liquidated, as reported by CoinGlass data.
Further complicating matters for the market were substantial sell orders totaling nearly 1,000 Bitcoin on prominent exchanges like Binance and OKX, valued at approximately $70 million. These sell orders formed a formidable barrier that hindered Bitcoin’s upward momentum beyond the $70,000 threshold, contributing significantly to the subsequent correction in price.
This price turbulence has sparked discussions among cryptocurrency experts on social media platforms. Analyst Michaël van de Poppe expressed uncertainty regarding Bitcoin’s future trajectory, citing recent liquidity removal and the potential impact of economic indicators such as a higher-than-expected unemployment rate. He suggested that negative news events could exacerbate any potential correction in Bitcoin’s price, while periods of consolidation might offer opportunities for alternative cryptocurrencies.
However, there are contrasting viewpoints within the crypto community. Some, like investor Jelle, questioned whether the rapid sell-offs at peak levels necessarily indicate a bearish trend. Jelle proposed that these could be strategic maneuvers to gauge market sentiment, expressing optimism for a potential resurgence in Bitcoin’s price towards the $70,000 mark.
As of the latest update, Bitcoin is trading around $68,700, reflecting a 1.2% increase over the past 24 hours, according to data from Benzinga Pro.
