The ongoing crypto market carnage seems to have no end in sight after closing five weeks in the red, and it threatens to worsen in the months ahead.
The price of Bitcoin fell to $34,198 on Bitstamp early Sunday morning, according to TradingView, its lowest level in three months, as the brutal sell-off continues.
Long orders have been liquidated in large numbers as the majority of the crypto market’s values have declined in recent hours. Long orders account for 84.5 percent of total liquidations, according to coinglass data.
77,426 traders around the cryptosphere liquidated their long orders, bringing the total value liquidated to roughly $270million in just 24 hours, with the majority of the numbers coming in the past 12 hours.
The atmosphere surrounding the flagship cryptocurrency has been gloomy since the end of March. At the time, Bitcoin was close to $50,000, but it failed and began to lose value rapidly. BTC lost over $10,000 in April alone, closing the month below $40,000.
So far, May has been a nightmare. Bitcoin has dropped 9.9% this week and is down approximately 50% from its all-time high set last year, bringing the rest of the crypto market down with it.
The global cryptocurrency market has lost nearly $145 billion since its opening price this week. Worse, it has lost $230 billion in value from its peak of $1.807 trillion. From their highs, Ether is down 47 percent, LUNA 46 percent, AVAX 63 percent, SOL 70 percent, and DOT 75 percent.
The popular Fear and Greed Index has once again slipped into an extreme fear area as bitcoin’s price continues to fall. Since late January, when the asset’s price dipped just under $33,000, the metric hasn’t been in such bad condition.
Short-term investors may have fueled the fall in the last two days. On the 5th and 6th, exchanges received a total of 11.76k BTC that had been kept for less than 3 months.
Bitcoin’s price trajectory is uncertain, and there are no clear clues as to what will happen in traditional markets which are in a sea of red in the coming months, and will have a huge impact on Bitcoin’s direction, so keep a watchful eye and manage your portfolio prudently.