- Bitcoin’s price crashed by over 5% below $60,000 on Wednesday amid a broader market selloff
- The selloff triggered $216 million in liquidations across the crypto market in the past 24 hours
- Escalating geopolitical tensions between Iran and Israel are suspected to have triggered the market selloff
Bitcoin’s price has continued to decline alongside the broader stock market, falling back to lows last seen in February. This recent slide has triggered over $215 million in liquidations across the crypto market.
The Bitcoin Selloff
On Wednesday, Bitcoin’s price crashed by over 5% below $60,000 amid a market selloff impacting the wider crypto and stock markets.
Bitcoin (BTC) began the day trading for roughly $63,700 per coin. Its price began sinking drastically starting at 1:40 PM UTC and has plummeted to $59,950 as of 4:45 PM UTC. It trades for $60,475 at press time.
Meanwhile, the price of Ethereum (ETH) has slid back under $3,000 to just $2,950 at writing time. The S&P500 and Nasdaq 100 have declined 0.68% and 1.27% respectively.
Massive Liquidations
According to Coinglass, the selloff has triggered $216 million in liquidations across the crypto market in the past 24 hours. That includes over 67,000 affected traders, including one who lost $54 million on an ETH-USD swap.
Many suspect the market selloff has been triggered by escalating geopolitical tensions between Iran and Israel after the former launched a barrage of drones and missiles against the latter over the weekend.
In a Monday note, a CryptoQuant analyst predicted that Bitcoin could see more downside pressure, given that funding rates remain elevated compared to historical averages.
Outlook
Bitcoin’s recent slide below $60,000 shows the cryptocurrency remains correlated to the broader stock market. With over $215 million liquidated in 24 hours, market volatility is likely to continue in the short term. However, for long-term believers in Bitcoin, these declines could present buying opportunities.
