Bitcoin Under $63,000: Massive liquidations

The crypto market is going through a turbulent period, with the price of Bitcoin falling significantly below $62,410. This correction has led to massive liquidations, totaling $622 million in the last 24 hours.

Bitcoin’s tumble continues, leaving many victims

The crypto market still in the red, Bitcoin, being the market leader, is not spared. The leading crypto has seen its fall by almost 15% from its all-time high of $73,000, falling to $62,410.

This correction, which began last week, became even more pronounced before the much-anticipated U.S. Federal Reserve (FED) on interest rates this month.

Faced with this heightened volatility, many investors have seen their positions liquidated. According to data from Coinglass, no less than $622 million were liquidated in the last 24 hours, including 515 million in long positions and 106 million in short positions.

A total of 240,354 investors were affected by these massive liquidations, the largest amounting to $12.2 million on the trading platform’s BTC/USDT trading pair OKX.

Slowdown in Bitcoin ETFs and record outflows at Grayscale

Analysts put forward several hypotheses to explain this sharp fall in the Bitcoin price. Among the key factors is the decline in inflows into ETFs (Exchange Traded Funds) Bitcoin and regular BTC transfers carried out by Grayscale, the world’s largest crypto asset manager.

Indeed, the craze for Bitcoin ETFs seems to be running out of steam as evidenced by the slowdown in the quantity of BTC recovered by funds and institutional investors. In addition, Grayscale recorded a record outflow of $643 million on March 18, beating the previous GBTC daily release record (Grayscale Bitcoin Trust) for $640 million on January 22.

It’s worth noting that periods of volatility are an integral part of the crypto market cycle, especially in the run-up to halving, which is expected in a month’s time. We’ll be keeping a close eye on the market to anticipate future trends in Bitcoin and other cryptos.