$950M Liquidations Follow Bitcoin, Ethereum, Solana Crash
Following a surge in its price over the past week, Bitcoin (BTC) faced a significant correction over the last 24 hours, plummeting by 4.95% to trade at $67,829.94 at the time of writing. This downturn is attributed to traditional markets tanking amidst geopolitical uncertainty surrounding potential actions from Iran against Israel. The S&P500 and Nasdaq both experienced declines, while traditional safe havens like gold saw appreciation.
Cascading Effect on Altcoins
The decline in Bitcoin's price had a cascading effect, causing other cryptocurrencies such as Ethereum (ETH) and Solana (SOL) to also experience dramatic drops. SOL fell by 11.93% and ETH declined by 8.33% over the same period. This downturn marked the ongoing bullish trend of both SOL and ETH as they broke past their previously established higher lows.
ETH and SOL Face Bearish Trends
ETH fell to $3099 during this drawdown but managed to climb back up to $3256.96 at the time of writing, following a trajectory similar to its previous test on March 20th. Solana showed a similar trajectory, with its price movement since April 1st indicating a potential decline. Throughout the month, SOL exhibited multiple lower lows and lower highs, signaling a bearish trend.
Need for Bullish Momentum
For both ETH and SOL to rally, a massive resurgence in bullish momentum would be required. Despite the recent price corrections, interest in BTC and ETH remains high. Santiment's data revealed a significant increase in the number of addresses holding BTC and ETH over the last few weeks. However, the recent decline in prices could be attributed to profit-taking behavior among a few whales.
$950M Liquidations in 24 Hours
In the last 24 hours, $947 million worth of positions were liquidated, with $824.94 million coming from long positions. Traders bullish on BTC, ETH, and SOL suffered significant losses. With the halving on the horizon, it remains uncertain which direction BTC will take in the near future.
