Bitcoin Faces Volatile Market: $871 Million in Liquidations as Price Dips Sharply

by Pooja Chauhan · 13/04/2024

Bitcoin experiences a sharp decline after briefly surpassing $71,000, resulting in almost $1 billion in liquidations. Read about the recent volatility and its impact on the cryptocurrency market.

On April 12, Bitcoin’s value soared past the $71,000 mark, only to experience a dramatic drop of over $3,000 after a major sell-off at 2:00 p.m. Eastern Time. This decline brought the cryptocurrency’s price down to a daily low of $65,230. The volatility resulted in the liquidation of leveraged crypto positions worth nearly $872 million over the last 24 hours.

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Currently, the cryptocurrency market holds a valuation of around $2.42 trillion, having fallen by 7.4% over the previous day. Trading activity spiked, with the volume of global crypto transactions increasing by 35.83% on Friday, totaling $114.57 billion.

Bitcoin was trading above $70,000 before 8 a.m. on Friday and peaked above $71,000 in the early morning trading hours. However, resistance at higher levels led to a significant price drop at 2:00 p.m.

The 1-hour candle at 2:00 p.m. showed Bitcoin dropping to $65,230. It managed a minor recovery from this low, with the price attempting to stabilize around the $67,000 mark. This sharp decline affected the entire cryptocurrency market, given Bitcoin’s influential role.

As of today, Bitcoin has decreased by 4.8% and has seen an 8.8% decline against the U.S. dollar over the past month. Friday’s market fluctuations resulted in substantial liquidations among leveraged crypto traders.

Approximately 275,000 traders were hit by liquidations, with total losses nearing one billion dollars. According to data from coinglass as of 4:00 p.m. Eastern Time, $871.88 million worth of leveraged positions were wiped out in the last 24 hours, including $782.41 million from long positions and $91.46 million from short positions.

Despite the fluctuations, Bitcoin still commands a premium in South Korea, where it is currently priced at $71,753. The most traded pairs for Bitcoin on Friday included USDT, FDUSD, and USD, with the South Korean won accounting for 1.69% of all Bitcoin transactions.

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