Why Did Bitcoin (BTC) Price Plummet? Here is the Probable Reason and Liquidation Data
The cryptocurrency market started the day with a red picture again. Bitcoin price surged last night and exceeded $ 67,000. However, crypto enthusiasts were in for a surprise this morning.
Bitcoin’s price has experienced a sharp decline of more than 2.5% in the last 12 hours, reaching a bottom of $64,500. At the time of writing this article, it is trading at $65,652.
The probable reason behind this decline is the hawkish speech delivered by FED President Jerome Powell after the FED’s decision to keep interest rates unchanged last week. Additionally, the publication of the dot plot chart predicting only a 25 basis points interest rate cut in 2024 added to the market uncertainty. Yesterday, FED member Harker also mentioned in his statement that he anticipates only one interest rate cut this year, dismissing the possibility of any further cuts.
On the liquidation front, an astonishing $245 million position has been liquidated within the last 12 hours, with $225 million in long positions alone.
Among the cryptocurrencies facing significant liquidation, Ethereum led the way with $49 million, followed by Bitcoin with $37 million.
*This article does not constitute investment advice.