On Thursday, the price of the world’s largest crypto plunged to its lowest level in over a week within minutes, sparking over $1 billion in digital asset liquidations before sharply rebounding.
Starting at 5:26 pm ET, Bitcoin’s price plunged 6.3% to a low of $92,000 within three minutes. It then quickly rebounded above $97,600 before dipping another 1%, according to Coinbase data.
Despite slipping 1.7% on the day to $97,100, the asset is still up over 39% in the past 30 days, driven by bullish enthusiasm surrounding President-elect Donald Trump.
The move triggered more than $1.07 billion in liquidations across the market, with roughly 80%—or $817 million—coming from positions betting on higher prices, CoinGlass data shows.
Bitcoin long liquidations, meanwhile, have spiked to more than $390 million over the past four hours.
According to Pratik Kala, portfolio manager at Apollo Crypto, the drop was expected as funding rates had risen sharply, signaling an overheated market.
“Lots of people longed on the $100,000 breakout with leverage and got flushed,” Kala told Decrypt.
Go to Source to See Full Article
Author: Sebastian Sinclair
