"Everyone must be surprised to see BTC suddenly drop like that, did anyone expect it to happen?
Immediately after breaking $69,000, the king price of the currency crypto Bitcoin (BTC) tumbled back to $59,398 as the Binance order book showed large sell orders where over 300 BTC worth $20 million sold at $69,000 and 500 BTC at $70,000.
Through observation, the actions taken by the price of BTC have triggered the elimination leverage that's bad liquidates over $1.1 billion in derivatives trading positions across all digital assets over the past 24 hours and $870 million from positions that liquidations are long .
Liquidations occur when crypto exchanges close leveraged trading positions due to losses or all of the traders' initial money after they fail to have sufficient funds to cover losing positions .
According to Reflexivity Research co-founder Will Clemente, yesterday's events reminded him of BTC's reaction during Thanksgiving 2020 where the price was expected to reach $20,000 but reached $19,500 before briefly falling to $16,000.
But historically, BTC tends to rise for the next few days following in 2020, its price went from $20,000 to $24,200 in 48 hours and it didn't fall below $20,000 again until June 2022 in the middle of a bearish market.
So here it can be seen that BTC currently does not have the momentum needed to emulate the rise in 2020 because Significant sell orders were added at $70,000 and $71,000 on Binance.
As of this writing, BTC price has plunged by 7.31% to $63,562 in the past 24 hours with a market cap of over $1 trillion but is still up 11.63% over the past week.
