Bitcoin experienced a whirlwind of volatility on Monday, particularly during the evening hours, plunging to a new monthly low of $64,000. The altcoins also saw significant fluctuations, with many experiencing massive declines. This resulted in a staggering 190,000 traders being liquidated on a daily basis. The leading cryptocurrency had a relatively calm weekend, hovering around the $66,000 mark. However, Monday’s trading session started off uneventfully before picking up steam later in the day.
Bitcoin surged to a local peak of slightly over $67,200 before succumbing to bearish pressure, leading to a notable price drop. In a matter of minutes, the digital asset shed over three thousand dollars, plummeting to its lowest level since May 15 at $64,000 on Bitstamp. Despite a slight recovery in the hours that followed, Bitcoin is currently trading close to $66,000. The altcoins mirrored Bitcoin’s performance, experiencing significant price drops across the board. Although some have managed to regain some ground, assets such as SHIB and DOGE remain around 10% down for the day, while others like SOL, AVAX, LINK, ADA, and DOT have seen declines ranging from 7-9%. Ethereum (ETH) also took a hit, dropping to $3,450 after briefly dipping to $3,330 earlier in the day.
The sharp market downturn resulted in a wave of liquidations, leaving over-leveraged traders exposed to substantial losses. According to reports, more than 190,000 traders were liquidated within a single day, with the total value of liquidated positions surpassing $480 million within the same timeframe. The largest individual liquidation order occurred on Binance, totaling $6.44 million and involving the ETH/USDC trading pair, as reported by CoinGlass.
The intense volatility witnessed in the cryptocurrency markets on Monday had a significant impact on traders, with many experiencing liquidations and substantial losses. The rapid price movements and subsequent liquidations highlight the importance of risk management and caution when trading in such a volatile environment.