The global crypto market printed broad red indexes on Monday as Bitcoin price crashed below the $53,000 mark. BTC’s price plunged by more than 21% in the last 7 days, one of its worst performances since the FTX bankruptcy, amid a global stock selloff, and rising Middle East tensions.
Bitcoin has faced political uncertainties with Donald Trump and Kamala Harris vying for the US presidency, potential government sales of seized BTC, and supply risks from bankruptcy returns since it hit a record high above $73,500 in March.
Ether price nosedived straight to $2,200 zone after a massive decline of 21% in the last 24 hours. The biggest meme crypto, Dogecoin (DOGE), recorded a slump of 15% over the last day, dragging the altcoins down. The downturn coincides with a 7% drop in Japan’s Nikkei 225 and Japanese bank stocks’ worst day since 2008 following an interest rate hike. The crypto market cap had briefly lost $500 billion in three days.
Crypto market experiences bloodbath
The cumulative crypto market cap dropped below the crucial $2 trillion mark by shrinking 13% over the last day. It lost more than $200 billion in market cap over the last 24 hours as the Fear and Greed index moved to the “Fear” zone.
As per Coinglass data, more than $823 million worth of long and short bets liquidated in the past 24 hours. The largest liquidation order happened on the crypto exchange Huobi for BTC/USD, valued at $27 million. Over $717 million worth of liquidated bets (87%) turned out to be long positions set by the traders. This suggests that bulls were not expecting the market crash and geopolitical reasons triggered the major crash.
Bitcoin drops below $53K
Bitcoin price dropped by 11% in the last 24 hours impacting the wider section of the market. BTC has seen a dump from hitting upper highs of $69,000 to $53,000 zone in the last 7 days. BTC is trading at an average price of $53,991 at press time. Its 24 hour trading volume is up by 86% to stand at $51.8 billion.
Data shows that around $250 million worth of bets set on Bitcoin price got liquidated over the past day. More than $213 million worth of liquidations (85%) turned out to be long positions.
BTC has now declined by 25% in the last 60 days and 16% over the past 90 days despite gaining major regulatory approval for spot exchange-traded fund (ETF) trading from the US Securities and Exchange Commission (SEC). However, Bitcoin is still up by 28% on year to date period.
