Bitcoin Faces Correction Following Break Above $50,000
Bitcoin experienced a significant correction after finally surpassing the $50,000 mark. As a result, numerous traders were liquidated and over $200 million worth of positions were wrecked.
A Weekend of Stability After Last Week’s Surge
Following a strong performance last week that saw BTC climb from $43,000 to over $48,000, the cryptocurrency had a relatively quiet weekend, maintaining a price around the latter figure.
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A Minor Retracement and Bearish Market Movement
The start of the week brought a slight retracement that caused Bitcoin’s price to drop by a few hundred dollars. However, bears quickly took control of the market and reversed its trajectory.
New Highs Followed by a Rejection
Later in the day, Bitcoin began another upward movement that pushed it above $50,000 for the first time in two years. However, as predicted by analysts, some investors decided to take profits at this level, resulting in a sharp drop of nearly $2,000 in just an hour.
Liquidations and Wrecked Positions
The correction has had a significant impact on over-leveraged traders. Within the past day alone, 65,000 such traders have been liquidated, leading to more than $210 million worth of wrecked positions. The largest liquidated position was on Binance and involved the ETH/USDT trading pair with a value of $4.7 million.
