Bitcoin’s recent price declines were only exacerbated when it fell to slightly under $20,000 for the first time in approximately six weeks.
Alternative coins suffer as well, which causes overleveraged traders to liquidate their holdings for approximately $400 million.
the last week or so’s roughly consistent price changes for bitcoin. BTC dropped about $4,000 the previous week and spent the majority of this one trading around the $21,000 level. It attempted to challenge $22,000 a few days ago but failed.
Yesterday, when it had settled around $21,500, Fed Chair Jerome Powell spoke to the nation once more, effectively restating the central bank’s earlier position on how to combat inflation.
The cryptocurrency markets, however, immediately responded with price declines. One cryptocurrency, Bitcoin, fell by $1,000 in a few of hours before continuing to fall. As a result, it recently fell below $20,000 for the first time since the middle of July.
The condition of the substitute coins is not any better. Some are down double digits, including ETH, SHIB, and AVAX. After soaring beyond $1,700 two days ago, the price of Ethereum has now fallen below $1,500.
The total market cap of all cryptocurrencies has plunged well below the coveted $1 trillion threshold due to additional ferocious retracements from most alts.
Overleveraged traders have been affected by this increased volatility. According to data from CoinGlass, the total value of liquidations over the last day has reached approximately $400 million.
The greatest liquidated position, worth $3.5 million, was on OKX with the BTC/USDT trading pair, wrecking more than 125,000 traders so far.
