Bitcoin’s price is crashing, leaving millions in liquidations.
Bitcoin’s price has been crashing in the past 24 hours, charting a decline of around 3.6% on the day. This brings BTC’s weekly losses to above 4%, as the cryptocurrency is currently dipping below $57,000.
Interestingly enough, the stock market is experiencing a considerable uptick during the same period. The S&P 500 is up almost 2% on the day, while NASDAQ is also charting 0.6% gains.
The rapid decline in Bitcoin’s price was quite possibly caused by the fact that 10K BTC was moved from a known US Government wallet to a Coinbase Prime deposit wallet. In addition, on Tuesday, BitGo moved $2 billion worth of Mt. Gox BTC, sparking worries of increased selling pressure.
That said, Bitcoin’s crash below $57K triggered liquidations upward of $200 million across the derivatives market.
Most of the positions were long traders, which is to be expected during a downward move. That said, ETH derivatives traders suffered the most, accounting for $70 million of the total liquidations. Ethereum is down 4.6% in the past 24 hours.