Wednesday

Bitcoin

Matrix

Spot

The global digital assets market recorded a massive sell-off on Wednesday as <a href="https://news.todayq.com/bitcoin-birthday-btc-from-bans-to-global-adoption/" target="_blank" rel="noopener noreferrer nofollow">Bitcoin (BTC) crashed</a> to the $41k price level. This major sell-off occurred when Bitcoin recently regained the vital $45k price level. The cumulative market cap dropped by 7.52% over the past day to stand at $1.62 trillion. Is Bitcoin bullish rally over? 
According to the data, Bitcoin price dropped by around 9% in the last 24 hours. BTC price went down to trade at $40,800 level. However, Bitcoin is trading at an average price of $41,814, at the press time. Its 24 hour trading volume is up by 20% to stand at $40.7 billion.&nbsp;
Data provided by the Coinglass depicts that more than $624 million worth of long and short bets got liquidated in the last 24 hours. However, $463 million worth of liquidation was recorded in the span of one hour. The open interest now stands at around $1.5 billion. The largest single liquidation recorded by the trackers has been $14.26 million.
As we dig in, out of the cumulative liquidation of $463 million in the last one hour, $435 million worth of long positions got liquidated. This suggests that the traders were hoping for the crypto market and Bitcoin to surge more. Source: Coinglass 
It is expected that an expectation of disapproval spot Bitcoin ETF resulted in the crash. No ETF approval? 
<a href="https://news.todayq.com/crypto-bull-run-in-2024-matrixport-report-reveals/" target="_blank" rel="noopener noreferrer nofollow">Matrix on Target predicts</a> the SEC will reject Bitcoin Spot ETFs in January, citing unmet critical requirements. Approval seems unlikely with a Democrat-dominated leadership, including SEC Chair Gensler, who isn’t crypto-friendly.
It added that Gensler sees the industry needing more compliance, making a Bitcoin Spot ETF approval politically unattractive. The anticipation led to $14 billion in inflows, with $10 billion linked to ETF expectations. A denial could trigger cascading liquidations, swiftly dropping Bitcoin by -20% to $36,000/$38,000. Matrix on Target advises hedging with $40,000 strike puts or going short on Bitcoin through options by January 5, 2024, despite an optimistic year-end price expectation of over $42,000.
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Bitcoin crashes to $41k as over $350M liquidated in one hour

Todayq News

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