$ 1.3 billion trading position with bitcoin liquidation; Has the market started to decline?
Recent data show that following the fall of the price of Bitcoin a few hours ago, the $ 1.3 billion liquidity trading position has been created. Although there seems to be a downward trend in the market, some analysts have pointed out that bitcoin has experienced a similar downward trend in the past before the start of the new year; But then the price jumped.
To Report Coin Telegraph, the price of Bitcoin fell 20 percent to below $ 47,000 a few hours ago and reached near $ 42,000 at its lowest level. This is the biggest one-day fall in the price of bitcoin since May 15; When the price dropped to close to $ 33,000 at some point.
Before recovering to $ 47,000, the Bitcoin price fell 26.4% from the $ 57,206 support that had been maintained for about a week. According to ByBit data, 1.3 billion trading positions in the Bitcoin market have been liquidated in the last one hour alone, while $ 735 million was in long trading positions.
It can now be said that the fall in prices and the decline in the market have stopped the recent uptrend that began on September 29 (October 7) and lasted for two months. The uptrend, during which the price rose by 63% on November 8 (November 17) reached its historic high of $ 67,602. However, many digital currency market analysts, including TechDev, have pointed out that bitcoin has experienced a similar trend in the past before the start of the new year and has seen a significant drop in price. .
TechDew wrote on Twitter:
Throughout history, each bitcoin market cycle has ended with a red (descending) monthly candlestick, after which the market has been bullish for two or three months.
The fall of bitcoin to the last two months could be due to the resistance of US officials, who are seeking more serious legislation in this area. They recently invited executives from major exchanges such as FTX and Bainance to appear before the House of Representatives and provide information to lawmakers aimed at improving the legal situation in the area.
On the other hand, some believe that the price of bitcoin can stabilize after the end of this reform. For example, Michaël van de Poppe, CEO of Eight Global’s digital currency training platform, believes that the price is now “flat” and will not go below that.
Despite concerns about price fluctuations and inconsistencies with traditional financial markets, bitcoin continues to grow as a stable asset for countries with volatile economies.
Following the adoption of Bitcoin as the legal tender in El Salvador, the Zimbabwean government is also seeking widespread use of Bitcoin. Charles Wekwete, chief executive of the Zimbabwean president and director of the e-government unit in the cabinet, has confirmed that the government is in talks with the country’s businesses to use bitcoin.
According to the senior member of the Zimbabwean government, the authorities intend to enact laws to protect people from financial threats such as illegal overseas transfers, currency outflows and money laundering.