Bitcoin's price surprisingly surpassed $117,000 amid significant position liquidations, marking a notable event in the cryptocurrency market.
Massive Short Liquidations
Data from analytical platforms showed $1.17 billion in Bitcoin short positions were liquidated over 24 hours. This occurred alongside high global transaction volumes, resulting in a wave of new buy orders on exchanges, leading to a price increase of $5,000 within minutes.
Market Capitalization and Technical Indicators
Bitcoin's market capitalization rose to approximately $2.33 trillion, surpassing Alphabet and placing it among giants like Amazon, Apple, and Microsoft. Analyst Martin Folb noted in his study that the accumulation phase had concluded, and the distribution phase had commenced, suggesting further price growth.
Expert Warnings on Volatility
Experts warn that the surge in liquidations has increased market volatility and strongly advise investors to carefully review their leverage settings. It has been observed that during rapid liquidity shifts, order books thinned, leading to significant price fluctuations.
The rise in Bitcoin's price represents a significant event, reflecting changes in the crypto market and highlighting potential risks due to increased volatility.
