Bitcoin lost $1,000 in just five minutes today, giving way to two-week lows. The number one coin has hit a major buy wall. It was trading hands at just over $59,000 at the time of writing, which is its lowest since October 15.
10% of gains lost in a single day
This development comes in the wake of several retests of $60,000. Now, Bitcoin is taking liquidity in a big support wall with the base of $57,000, CoinTelegraph reported.
Analysts were prepared for this. Data indicated that even a drop to $50,000 wouldn’t necessarily warrant bearish predictions. Last month, crypto broker Decentrader argued there was no reason to be bearish on Bitcoin. After reaching a new all-time high, however, there have been concerns as a correction depleted 10% of its gains in a single day.
Decentrader said:
We have been tracking a Bitcoin fractal pattern for a number of weeks now, which, if it continues, would imply to play out, that the next major stop higher for Bitcoin would be $72k if momentum can be maintained, after which the 1.618 extensions suggests around $88k would prove to be a target of interest, which ties in with the idea that $100k will see some front running by sellers.
According to Charles Edwards, CEO of investment firm Capriole, leveraged traders caused volatility:
Basically, Bitcoin looks incredible here on most metrics, but leverage traders have gone out of control. We won’t get sustainable price rises until that changes.
Data showed that in just an hour, $500 million was liquidated on the cryptocurrency market. Today, Ethereum led a massive altcoin loss, dropping below $4,000. A number of top ten cryptocurrencies by market cap saw losses of more than 15% today, including Solana and Dogecoin.
Solana may be seeing resistance near its all-time high, but impressive growth and solid fundamentals of its NFT and DeFi ecosystems will probably push it above $250 before the end of the year. Since August, Solana has gained 490%. Interest from institutional investors is the main reason for this.
Best Solana projects
The coin’s two best known DeFi projects are DEXs with inbuilt yield generation programs. Each holds almost $2 billion in total locked value. Raydium offers yield farming, a decentralized exchange, and liquidity pools. Saber is an AMM that trades between synthetic assets and stable pairs.
Today, Shiba Inu has gained 23% so far despite the market turnaround.
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