Bitcoin Crashes 24% from Peak as $243M Liquidations Rock Crypto Markets
Bitcoin sees its lowest point in over six months on Monday, battered by massive sell-offs and persistent draining of funds...
Quick overview
- Bitcoin has fallen to its lowest price in over six months, dipping to around $93,029 amid significant sell-offs and ETF outflows.
- The cryptocurrency is currently down 10.6% over the past week and 24.6% from its recent peak of $126,000.
- A death cross has been confirmed on Bitcoin's daily chart, indicating a bearish trend as it closed below its 50-day EMA for the first time since August.
- Traders are closely monitoring the $93,770 to $94,000 support zone, as a breach could lead to a further decline towards $90,000.
Bitcoin sees its lowest point in over six months on Monday, battered by massive sell-offs and persistent draining of funds from U.S. spot ETFs
Data from crypto news shows the world’s largest cryptocurrency hovering around a not-so-shiny $95,000 during early Asian trading hours on Nov 17th – briefly dipping to the lowest price in over 6 months at a low of $93,029 – that is the lowest it has been since Apr 12th.
The crypto asset has taken a big fall over the past 7 days, down by 10.6% and is sitting a whopping 24.6% below its year-to-date high of $126,000 – a price which was only hit just a month ago.
- Bitcoin has gone down by 24.6% from its recent peak at $126,000
- The current bottom line is around the $93,770-$94,000 mark
- If it’s breached, the next stop is likely to be $90,000
Liquidations and ETF Outflows Pressure Bitcoin
Monday was a bad day for Bitcoin, as a massive unwind in the derivatives markets took place. Over the past 24 hours, $243m was clawed back from positions, with the majority – $136.6m – being from people who were long on it. Significant liquidation events occur when leveraged positions are closed out and people are forced to sell, triggering a domino effect. Just last month, we saw a similar event that pulled out over $20 billion from the market.
It’s not just the derivatives market that’s under pressure – institutional investors are also stepping back. The U.S.-based spot Bitcoin ETFs have seen a net outflow of over $2.3 billion in the last 2 weeks, according to SoSoValue. This is a big drop and indicates that big investors are waning in confidence, which in turn could continue to push the price down this week.
Bitcoin (BTC/USD) Technical Indicators Signal Bearish Trend
The daily chart for Bitcoin has recently confirmed a death cross – a pretty ominous sign that generally means things are heading down. This happens when the 50-day moving average falls below the 200-day average. Last week, we also saw Bitcoin close below its 50-day exponential moving average for the first time since August 2023, suggesting bearish momentum is starting to take hold.
Other indicators are also pointing to a bearish trend: the Aroon Up indicator is at 92.86%, while the Aroon Down indicator is at 0%. This is a strong indication that sellers are in control at the moment. Analysts are now watching the $93,770 to $94,000 zone pretty closely as the next critical level of support – if that gets breached, Bitcoin could slide down to the $90,000 mark or lower.
- Death cross confirmed on the daily chart
- Bitcoin closed below its 50-day EMA for the first time since August
- The next stop, if it’s breached, is $93,770-$94,000, with a possible drop to $90,000
Bitcoin is getting pushed down from both technical and macroeconomic pressures – and lots of traders are closely watching the Fed’s signals and ETF flows to get a better idea of when and where things are going to go next.
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