Bitcoin drops $5K in minutes
Bitcoin’s (CRYPTO:BTC) recent surge above $100,000 was short-lived as it quickly plunged below that level within 24 hours.
The cryptocurrency had reached over $100,000 for the first time in nearly three weeks, following MicroStrategy’s latest purchase.
The price continued to rise, peaking at just under $103,000 during the Tuesday morning Asian trading session.
However, the momentum could not be sustained, and Bitcoin began to lose value gradually, settling around $102,000.
Soon after, the bears took control, and Bitcoin lost nearly $5,000, falling to $97,160.
Altcoins have experienced even more severe price drops.
Ethereum (CRYPTOLETH) dropped by 7%, struggling below the $3,500 support-turned-resistance level.
XRP (CRYPTO:XRP) and Solana (CRYPTO:SOL) also saw declines, falling below $2.3 and $210, respectively.
Other altcoins, such as Dogecoin (CRYPTO:DOGE), Sui (CRYPTO:SUI), Avalanche (CRYPTO:AVAX), Chainlink (CRYPTO:LINK), Stellar (CRYPTO:XLM), and Shiba Inu (CRYPTO:SHIB), saw price drops of up to 11%.
The market’s volatility led to significant liquidations, with over 130,000 traders suffering losses in the past 24 hours.
Total liquidations have reached $390 million, with more than $200 million occurring in the last hour alone.
The largest liquidation happened on Binance, worth $12 million.
This sudden price swing highlights the risks for over-leveraged traders in a volatile market, with many facing significant losses due to the rapid movements in Bitcoin and altcoin prices.
At the time of reporting, the Bitcoin (BTC) price was $96,896.64.
