Key Points
- In 24 hours, crypto liquidations surpass $200 million.
- Massive losses caused by bitcoin falling below $60,000.
- People who invested in Ethereum were hit hardest with $55.5 million lost through liquidations.
- Market affected by geopolitical tensions and U.S. monetary policy
The price of Bitcoin dropped below $60,000 on Wednesday which led to the highest amount of weekly crypto market liquidations since last week. Over the past day alone there were more than 74,000 traders who got liquidated resulting in a total loss of $208 million according to data from CoinGlass.
Mostly affecting long positions where investors bet on rising prices losing around $184 million. This mainly impacted people who had invested in Ethereum because they suffered about$55.5 million worth of liquidations coming from long positions as well.
#Crypto Liquidations Top $200 Million as #Ethereum, #Bitcoin Fall$BTC $ETH #CryptoInvestinghttps://t.co/IeLf2o5UAU
— Everything Crypto (@EverytngCrypto) July 4, 2024
Market Influences and Future Projections
Cryptocurrency prices are expected to be influenced throughout 2024 by ongoing concerns about US monetary policy, global geopolitical tensions, and next year’s presidential election.
During intraday trading, Bitcoin’s price fell from about $62,200 down to a low of around $59,425 but has since rebounded back above$60,200. Despite bouncing back slightly it is still down 3% over the past 24 hours.
Ethereum also saw a similar percentage drop after reaching Wednesday highs near$3,425 it plunged as low as $3,254 before recovering slightly to trade at around$3,300 currently.
Among the top 10 coins Solana which is currently ranked fifth largest cryptocurrency by market cap experienced the biggest decline dropping approximately 8% down to$140 following New York-based investment management firm VanEck filing for its “Solana Trust” exchange-traded fund late last month.
Monthly Decline and Analyst Predictions
Over the past month major cryptocurrencies have seen significant declines with Ethereum down more than 12% over 30 days despite growing interest in the debut of Ethereum spot ETFs which some analysts predict could begin trading by mid-July potentially boosting ETH prices, Bitcoin has also fallen 12% during that same time frame.
However, despite the current downturn many analysts remain bullish on future price action viewing this as the market cooling off before another large move higher in the coming months.
On Wednesday CryptoQuant released a report examining Bitcoin mining metrics suggesting that current conditions may indicate a price bottoming at present levels.
