The price of bitcoin has fallen below the $66,000 level of support.
The decline in Bitcoin has prompted liquidations totaling more than $426 million.
Bitcoin catalysts such as ETFs and halving could strengthen resistance to additional declines.
The week-long decline in the price of Bitcoin (BTC) sparked a downturn that saw the cryptocurrency fall below the $66,000 support level for the first time since it broke through over $73,000, the All-Time High (ATH).
The Price Rout of Bitcoin (BTC)
As of this writing, market data places the price of Bitcoin at $65,777.25, a 3.6% decrease in just one day. The currency hit a daily high of $70,046.27 before printing the current price, indicating market volatility.
Though many market analysts have written off the recent decline in the price of Bitcoin, the long-term decline is having a more significant negative impact on the altcoin community as a whole. The fact that over 151,000 traders have been liquidated in the last day serves as evidence of this. With Bitcoin seeing the most liquidation, the market liquidations have reached $426.02 million total due to the price decline.
The amount that the price of Bitcoin has liquidated over the last 24 hours has exceeded $104 million, with long traders losing the most money—$86.36 million—compared to short sellers’ $18.15 million. The losing run also impacted Ethereum, with a total liquidation of $47.98 million distributed between long and short trades, amounting to $32.79 million and $15.18 million, respectively.
Liquidations hit all major altcoins, with the recent memecoin frenzy affecting BOOK OF MEME (BOME) based in Solana. Despite its $10.16 million loss, BOME fared better than Shiba Inu (SHIB), which experienced a $4.05 million decline.
Market Initiators to Keep an Eye on
Even while long traders suffer losses, many analysts believe a recovery is imminent. Therefore, the situation may quickly change.
The market for spot Bitcoin ETFs, whose consistent capital intake has supported the decline in the price of Bitcoin thus far, is one of the catalysts that could start this rise. Forecasts state that as long as there is a sustained market for Bitcoin ETFs, the price will continue to rise because, as CEO of Galaxy Digital Mike Novogratz has said, Bitcoin is still in the price discovery stage.
Another factor predicted to support the Bitcoin (BTC) demand bubble is the halving event. In addition to generally limiting the coin’s quantity, this event will assist in lowering the reward rate for Bitcoin blocks, which further spur price increases if demand is maintained.
