Bitcoin smashed another record during the weekend – it climbed to the level of $58,000! But not long after, the crypto meekly crawled back to $47,830, a.k.a. it fell by 17.95%.
Fresh Bybt data shows that the liquidation of 474,968 traders in the past 24h has caused this hefty shift. According to Bybt, 4,4 billion dollars was liquidated in the past 24 hours, making for the most frenzied day in BTC futures history!
A Surge in Bitcoin Influx
On-line data provider Santiment wrote that there was a surge in exchange inflow, up to eleven times bigger than usual. This caused the fall from Bitcoin’s newest high of over $58,000 dollars. After gathering other data, it was revealed that an address was responsible for the second biggest Bitcoin transfer of this year – an import of 2,700 to a wallet.
Large exchange inflows were alert of the push to exchange cryptocurrency assets such as digital gold for cash since they are taken from cold storage meant for future usage or speculation. This trend contrasts holding culture.
In addition, BTC’s significant price correction could also be caused by the comments made by the Treasury Secretary, Janet Yellen, who called Bitcoin “extremely inefficient” as a payment method, a stance faulted by the crypto-community.
Yellen told media outlets that she didn’t see Bitcoin as a widely-utilized transfer method. She pointed out the outrageous amounts of energy needed to process Bitcoin transactions, too.
The current price slump washed away the one trillion dollar marketplace cap Bitcoin succeeded in after rising past the $55k mark, as the ongoing market capitalization of Bitcoin is at $892b. Time is going to tell what’s next for the digital gold.