The crypto market experienced a sudden tumultuous slide on August 17, with over $1 billion in digital assets being liquidated within 24 hours. The dip was primarily led by Bitcoin (BTC), which saw a dramatic downturn to $26,410, contributing to a loss of over $71.60 billion in the total market cap for the entire crypto market, accounting to a 6% drop.
Market intelligence firm Coinglass detailed how traders collectively experienced a blow of more than $1.04 billion.
Among the significant crypto assets, Bitcoin (BTC) took a significant hit with $490 million liquidated, followed by Ethereum (ETH) recording $304.78 million liquidation, and XRP at $25.87 million. More than 173,576 traders dealing with high-leverage bets faced a liquification fallout in the erratic market condition.
Crypto exchange platform OKX single-handedly closed derivatives contracts worth about $325 million, while Deribit accounted for $272 million, and Binance stood at $213 million, as per Coinglass data.
Credible Crypto, a recognized analyst hiding behind pseudonymity, predicts the recent market dip to be the commencement of a final consolidation phase for Bitcoin. He suggests Bitcoin’s journey since $15,000 has always followed a pattern – a sharp drop before a bullish turnaround. Hence, suggesting any value of Bitcoin above $25,000 shouldn’t worry investors about the overall bullish structure.