On Sunday evening, a sharp decline in prices occurred in the cryptocurrency market, affecting major assets such as Bitcoin and Ethereum.
Overall Market Situation
On Sunday evening, the entire cryptocurrency market headed downwards, starting with a significant price drop in Bitcoin. While Bitcoin's price had remained around $115,000 all day, it suddenly plunged to the lowest level seen since July 10.
Sharp Decline of Bitcoin and Its Consequences
Following an optimistic speech by Fed Chair Jerome Powell on Friday, Bitcoin surged from a previously recorded low of under $112,000 to over $117,000. However, this short-term rally was brief, and Bitcoin quickly retraced down to around 115,000 dollars. Less than an hour ago, bears re-emerged, pushing Bitcoin to a six-week low of $110,600.
State of Ethereum and Other Altcoins
Ethereum, the second-largest cryptocurrency, also faced volatility. While Ethereum's price reached a new all-time high of nearly $5,000, it quickly dropped to around $4,700 before recovering to about $4,800. Most altcoins experienced similar volatile price movements, negatively impacting over-leveraged traders. The total liquidation amount within an hour exceeded $300 million, with long positions accounting for around 90% of that amount.
The cryptocurrency market showcased substantial volatility over the weekend, posing risks to many traders and leading to significant losses.
