Long

Bitcoin

April

when

The cryptocurrency market has experienced increased volatility in the past 24 hours, resulting in a surge in liquidations on centralized exchanges as Bitcoin’s price dropped below the $67,000 threshold. This is as even the broader market has reacted negatively to the dip, causing a downturn.
According to data from<a href="https://www.coinglass.com/LiquidationData" rel="noopener noreferrer nofollow"> CoinGlass</a>, liquidations totaling over $527 million occurred across various centralized crypto exchanges within the past 24 hours. Long positions accounted for the majority of these liquidations, amounting to approximately $342 million.
<h2 id="b-btc-leads-volatility-and-liquidations-b">BTC Leads Volatility and Liquidations</h2>
Bitcoin bore the brunt of the liquidations, with over $130 million in positions liquidated during the same period, of which $90 million represented long positions. The bearish start to April has caused apprehension amongst traders involved in short-term trade. Regardless,<a href="https://thecoinrise.com/bitcoin-btc-rises-to-55k-as-raffle-coin-raff-presale-rockets-solana-sol-holders-drive-momentum/" rel="noopener noreferrer nofollow"> Bitcoin has had a perfect run in 2024,</a> steadily rising past the $55,000 price level.
Liquidations occur when traders’ positions are automatically closed due to insufficient funds to cover losses, typically resulting from adverse market movements that deplete the initial margin or collateral. The last major<a href="https://thecoinrise.com/crypto-markets-shaken-by-670m-liquidations-celestia-inqubeta-emerge-as-whales-new-favorite-crypto/" rel="noopener noreferrer nofollow"> liquidation in January was worth $670 million</a>.
<h2 id="b-bitcoin-decline-and-market-response-b">Bitcoin Decline and Market Response</h2>
The cascade of long position liquidations coincided with Bitcoin’s decline below the $67,000 mark, following a period of trading above $71,000. The leading cryptocurrency, with the largest market capitalization, experienced a decline of more than 4.2% over the past 24 hours, currently hovering around $66,500.
Analysts are however still optimistic of a price rally with less than three weeks to the Bitcoin halving event expected this month. They believe that a surge is possible post halving. A leading analyst,<a href="https://thecoinrise.com/bitcoin-btc-ethereum-eth-majors-eye-kelexo-klxo-presale-as-the-next-big-thing-in-lending/" rel="noopener noreferrer nofollow"> Michaël van de Poppe has assessed the current Bitcoin</a> price and the possibilities at play maintaining that prices are cyclical.
<h2 id="b-market-outlook-b">Market Outlook</h2>
Meanwhile, the GMCI 30 index, reflecting a basket of the top 30 cryptocurrencies, recorded a 6.8% decrease to 143.40 within the same timeframe. Ether, the second-largest cryptocurrency, also saw a decline of 6.5% to $3,319.
Analysts at crypto trading firm QCP Capital notes that the downside skew in risk reversals did signpost the impending downward movement, with liquidations primarily driven by exchanges having a strong retail trader presence, such as Binance.
“The options market provided an early signal to a sharp downside move, particularly the downside skew in risk reversals,” QCP analysts say. “The speed of the move was due to large liquidations on retail-heavy exchanges like Binance which saw perp funding rates go from as high as 77% to flat.”
The post <a href="https://thecoinrise.com/bitcoin-slips-under-67k-sparks-500m-in-crypto-liquidations/" rel="noopener noreferrer nofollow">Bitcoin Slips Under $67K, Sparks $500M Crypto Liquidations</a> appeared first on <a href="https://thecoinrise.com" rel="noopener noreferrer nofollow">Latest News and Insights on Blockchain, Cryptocurrency, and Investing</a>.

Bitcoin Slips Under $67K, Sparks $500M Crypto Liquidations

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