- More than 239,000 investors saw their positions closing within the last 24 hours as liquidations totaled nearly $874 million.
- The fifth successive week of plummets had the crypto market losing more than $1 trillion in value, market players terming it a ‘cryptocurrency winter.’
Coinglass, a crypto futures trading platform, reported that more than 239,000 investors saw their positions closed within the previous day, as liquidations totaled nearly $874 million. Saturday sessions had Bitcoin crashing towards a lower level, around $34,042.77, translating to a 7.2% drop within a day (Coinbase data). Other tokens met the plummets, Ethereum losing 12% of its value as Cardano and Solana dropped around 17% each.
Ethereum (ETH), the 2nd-largest crypto by market value, hit its ATH of $4,878.27 on 10 November. However, the alternative coin has lost about 47.8% from its peaks, exploring value zones of $2,390 during this publication.
The downtrends in the cryptocurrency industry depict the stock market’s condition as the US Fed Reserves destroy sentiment from the marketplace, planning to curb inflation. UBS analysts stated that central banks targeting inflation control would damage the narrative that investors can use Bitcoin to safeguard against price surges.
The Biden administration prepares to release a government strategy for crypto and task federal, assessing the opportunities and risks they pose. Meanwhile, crypto analysts attribute the crypto crash to increased regulation.
China issued a complete ban on all crypto-associated undertakings. And the central bank of Russia urges regulators to ban crypto mining and usage in the nation, citing risks to monetary policy sovereignty and financial stability.
Goldman Sachs analysts remain optimistic on Bitcoin despite the current drop in the industry, predicting a move to $100,000 by the leading crypto. The investment company stated that BTC currently accounts for almost 20% of the ‘store of wealth’ market. Goldman Sachs believes the store of value assets should not fall much in the long run, theoretically.
Goldman Sachs trusts BTC might eventually account for 50% of the ‘store of wealth’ marketplace, pushing the token nearly 18% higher per year for the coming five years, toppling $100K.
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