Home Bitcoin News Bitcoin Soars Past $46,000, Unleashing $123 Million in Crypto Liquidations

Bitcoin Soars Past $46,000, Unleashing $123 Million in Crypto Liquidations

In a significant turn of events, Bitcoin has catapulted past the $46,000 mark, marking its highest point since the approval of multiple BTC exchange-traded funds (ETFs) by the U.S. Securities and Exchange Commission (SEC) last month. The crypto giant recorded a noteworthy 5% surge within the last 24 hours, reaching nearly $46,500 at press time.

This surge is attributed to the influx of investments into BTC ETFs, including BlackRock’s IBIT, hinting at substantial momentum propelling Bitcoin’s market value. Analysts also point to the alignment of Bitcoin’s current price trajectory with historical market patterns, signaling potential for further growth, especially post-halving.

Markus Thielen, the founder of 10x Research, sheds light on historical trends indicating that Bitcoin typically experiences price upticks during the Chinese New Year period, with festivities set to commence by February 10. Thielen predicts, “Bitcoin will likely rally at least to the previous January high of around $48,000,” and notes that Elliot-Wave’s analysis suggests a potential rally towards $52,000 by mid-March.

The recent surge has not only positioned Bitcoin among the top 10 global assets by market capitalization but has also reflected the growing significance of digital assets within the broader financial landscape.

According to data from CryptoSlate, Bitcoin’s ascent over the past 24 hours has been nothing short of impressive, clocking a 5% increase and peaking tantalizingly close to $46,500 at press time. Such a surge has reignited optimism among investors and analysts alike, hinting at the potential for further growth and stability in the cryptocurrency market.

The influx of investments into Bitcoin ETFs, notably BlackRock’s IBIT, has been cited as a key driver behind this recent price surge. Analysts at CryptoSlate Insight suggest that such investments could inject substantial momentum into Bitcoin’s market value, propelling it into uncharted territory.

Markus Thielen, founder of 10x Research, pointed to historical trends indicating that Bitcoin tends to experience price upticks during the Chinese New Year period, a phenomenon set to commence on February 10th. With such auspicious timing, Thielen predicts that Bitcoin could rally to previous highs, potentially surpassing the $48,000 mark and even reaching $52,000 by mid-March, according to Elliot-Wave analysis.

Simultaneously, other major cryptocurrencies like Ethereum, Binance-backed BNB, Solana, Tron, Avalanche, and XRP have demonstrated resilience, registering gains exceeding 2% during the reporting period. The collective market capitalization of cryptocurrencies expanded by 3% within the past day, reaching a staggering $1.7 trillion.

However, with great highs come significant risks, as demonstrated by the Coinglass data revealing a whopping $123 million in liquidations across all assets from more than 38,000 crypto traders in the past day. Long traders incurred losses totaling $34 million, while short traders faced liquidations of approximately $90 million.

BTC speculators bore the brunt, accounting for $47 million or 38% of the total losses. Surprisingly, $41.08 million was liquidated from traders anticipating a decrease in BTC price, while long-position holders lost about $6.25 million. The most substantial single liquidation order was a $5.1 million short position on BTC executed via the BitMEX platform.

Ethereum, another major player in the crypto market, witnessed liquidations on both long and short positions, with losses totaling $10.19 million and $12.45 million, respectively.

Notably, traders on the Binance platform endured over 40% of the total losses, with a staggering $51.77 million in liquidations recorded in the past day.

As the crypto market experiences heightened volatility, it is crucial for investors and traders to stay vigilant and informed about the ever-changing landscape. The interplay between market surges, liquidations, and the broader economic factors influencing cryptocurrency dynamics underscores the need for a nuanced understanding of the crypto space.

Investors should remain cautious, considering the potential risks associated with rapid market movements. The $123 million in liquidations serves as a stark reminder that while the crypto market holds immense opportunities, it also demands a strategic and well-informed approach to mitigate potential losses.

In the coming days, all eyes will be on Bitcoin’s performance as it continues to navigate through market fluctuations. As the digital asset landscape evolves, staying informed and adapting to the dynamic nature of the crypto market will be key for investors seeking long-term success.

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Steven Anderson

Steven is an explorer by heart – both in the physical and the digital realm. A traveler, Steven continues to visit new places throughout the year in the physical world, while in the digital realm has been instrumental in a number of Kickstarter projects. Technology attracts Steven and through his business acumen has gained financial profits as well as fame in his business niche. Send a tip to: 0x200294f120Cd883DE8f565a5D0C9a1EE4FB1b4E9

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