The post Bitcoin’s Sudden Drop Triggers Nearly $900 Million Crypto Market Liquidation appeared first on Coinpedia Fintech News
The cryptocurrency market is facing significant losses today, as Bitcoin (BTC) experienced a sharp price drop of nearly 7%, falling to $97,905. This dramatic decline has caused a ripple effect throughout the market, leading to massive liquidations. Bitcoin’s drop resulted in nearly $900 million worth of leveraged positions being wiped out across the crypto space.
According to Coinglass data, over 316,000 traders were liquidated during this price plunge, contributing to a total of $881 million in liquidated positions. Long positions took the hardest hit, making up around $820 million of the total, while short liquidations accounted for $60 million.
The largest single liquidation took place on the HTX exchange, with a massive $98.46 million position being liquidated.
As the market continues to struggle, the Crypto Fear and Greed Index shows a shift in sentiment. The index now sits at 55, indicating a “Neutral” outlook. With increased caution in the market, more traders are betting against Bitcoin’s recovery by taking short positions.
Bitcoin is currently testing its crucial support at $98,000, which it needs to hold to prevent further declines. If Bitcoin loses this level, it could trigger a deeper correction, erasing recent gains and causing more uncertainty in the market.
The pressure on Bitcoin is intensifying as the Federal Open Market Committee (FOMC) meeting approaches on January 29, adding further tension.
Interestingly, Former BitMEX CEO arthur hayes
arthur hayes
Arthur Hayes is a Bitcoin advocate and fintech pioneer, best known as the co-founder and former CEO of BitMEX, a leading cryptocurrency trading platform. Launched in 2014, BitMEX has traded trillions in Bitcoin and other digital assets. Hayes, a former Deutsche Bank and Citigroup derivatives trader, became interested in Bitcoin in 2013 after reading Satoshi Nakamoto’s white papers. He stepped down as CEO of BitMEX in 2020 following regulatory challenges, including being the first crypto exchange charged under the Bank Secrecy Act. Hayes is recognized as the youngest African American crypto billionaire.
Details
Organization: BitMexLocation: Hong KongEducation: Bachelor of Science in Economics, Finance from the University of Pennsylvania and Bachelor of Science in Economics and finance from The Wharton SchoolSkills: Trading and Swaps
Experience:
Chief Investment Officer at Maelstrom from Dec 2022 – PresentCo-Founder at 100x Group from Oct 2020 – PresentCo-founder and CEO at 100x Group from Jul 2019- Oct 2020CEO at BitMEX from Jan 2014 – Oct 2020Delta One Trader (Associate) at Citi from Jun 2011 – May 2013Associate at Deutsche Bank from Jul 2008 – Jun 2011Synthetic Equity Trader at Deutsche Bank from Jun 2008 – Jun 2011
FAQ’s
1. When was Bitmex founded?BitMEX was Launched in 2014.
2. What other roles does Arthur Hayes hold?After BitMEX, Hayes became the Chief Investment Officer at Maelstrom
EntrepreneurInvestorChief Executive OfficerTrader
has predicted a “mini financial crisis,” suggesting that Bitcoin could drop to $70,000 before embarking on a strong bull run toward $250,000.
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It wasn’t just Bitcoin that suffered altcoins faced significant losses as well. Ether (ETH) was the most affected, with over $110 million worth of long positions liquidated.
Other major cryptocurrencies, including Solana (SOL), XRP, Dogecoin (DOGE), and Chainlink (LINK), saw their values drop by double digits, adding to the overall market turmoil.
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