Bitcon’s price has fallen by almost 20% in just two days. This situation led to Bitcoin losing its eighth place among the most valuable assets in the world.
A drop of almost 14% in just 24 hours has contributed to the correction in the price of Bitcoin (BTC). After reaching a new all-time high above USD 58,000, the pioneering cryptocurrency pulled back below the USD 50,000 mark.
The main cryptocurrency on the market maintained its bearish behavior, even after falling below USD 45,000. However, Bitcoin rebounded above USD 46,000, at the time of writing this article, according to data from TradingView.
Taking into account an initial price above USD 54,000, the cryptocurrency has devalued by almost 17% in just a few hours. By extending the range, Bitcoin has seen a correction of almost 20% in two days.
This behavior has taken Bitcoin to levels not seen since February 11th. However, it remains strong at apparent new support above USD 40,000.
The decline in the price of Bitcoin recently dropped its level as an asset above USD 1 trillion. That situation has also caused the cryptocurrency to lose its eighth place among the assets with the highest capitalization in the world.
The cryptocurrency that Satoshi Nakamoto created currently has a total capitalization of around USD 880,000. This brings it back below Chinese Internet giant Tencent. However, it still outperforms Facebook on the list that CompaniesMarketCap presents.
Bitcoin Bulls Receive nearly USD 1 Billion in Liquidated Positions
Recent Bitcoin’s price movements in a few hours have caused the liquidation of large amounts of money in market positions. According to data from Skew, there have been almost USD 1 billion in losses for traders in three days, on Binance alone.
Regarding the derivatives market, traders bet on the rise or fall of the price of an asset over some time. If the price of Bitcoin does not match the position of the trader up to a certain price, the liquidation occurs, and the trader loses the money “that he bet”.
Important price momentum that occurs in a short time has led to this situation. For example, the price of Bitcoin rose by 20% after the public support that Elon Musk posted on his Twitter account. That day, those people who bet low lost more than USD 250 million in just one hour.
Bitcoin is not the only crypto asset that the red day has affected. In a market that is widely correlated with the pioneering cryptocurrency, the rest of the currencies have followed the fall in the price of Bitcoin.
The altcoin that this situation affected the most was the Crypto.com token (CRO). Meanwhile, the cryptocurrency on the Ethereum network has fallen to USD 1,400. This seems to be putting at risk its level above the all-time high of 2018, which was around USD 1,200.
Even though Bitcoin also seems to be in danger, it is still more than twice the all-time high of the 2017 bullish run.
By Alexander Salazar
