- Cryptocurrencies suffered substantial losses, with Bitcoin (BTC) tumbling below $59,000 and Ethereum’s Ether (ETH) losing almost 10%.
- It was unclear what sparked the sell-off, but it triggered $313 million in liquidations of leveraged crypto derivatives positions over the past 24 hours.
- Other top cryptocurrencies like BNB, Solana (SOL), XRP, Dogecoin (DOGE), and Tron (TRX) also saw significant declines, while the Telegram-associated (TON) token rose nearly 5%.
Cryptocurrencies took a beating in late trading Tuesday, with bitcoin tumbling below $59,000 and ether dropping nearly 10% amid a broad-based crypto sell-off.
Bitcoin Falls as Low as $58K
Bitcoin had reached above $62,700 earlier in the day but ended up falling 6.5% from 24 hours ago. Amid the rout, it sank as low as $58,240, the lowest since Aug. 19.
The bellwether cryptocurrency had traded above $67,000 just last week before starting its downward slide.
Ether Down Double Digits
Ethereum’s ether also gave up its earlier gains, topping $2,700 before plunging below $2,500. At its low point, ether was down almost 10% on the day.
The second-largest cryptocurrency after bitcoin has underperformed its larger peer lately, now down 50% from its all-time high near $5,000 in November 2021.
Trigger for Selloff Unclear
It wasn’t immediately clear what set off the broad-based crypto sell-off.
The sudden downturn triggered $313 million in liquidations of leveraged crypto derivatives positions over the past 24 hours, the largest since the Aug. 5 crash, according to data from Coinglass.
Ether traders saw over $100 million in liquidations, while bitcoin traders suffered $95 million in forced sell-offs.
Other Cryptos Join the Rout
The carnage extended across the crypto sector, with most major cryptocurrencies firmly in the red.
Binance Coin (BNB) fell nearly 4% to $528, Solana (SOL) dropped 7% to $146, and XRP declined 4% to $0.56.
Meme token Dogecoin (DOGE) and Tron (TRX) plunged 6.5% and 2.25%, changing hands at $0.098 and $0.158, respectively.
One outlier was TON, the token associated with the Telegram messaging app, which bucked the trend with a nearly 5% gain.
Bitcoin Remains in Long-Term Uptrend
Despite the steep drop, bitcoin remains in a long-term uptrend, up 65% so far this year. The crypto king had been trading in a relatively tight range between $55,000 and $60,000 before the breakout earlier this month.
Price dips have so far been bought up quickly, but analysts say more sustained selling could see bitcoin test lower support levels.
