Bitcoin Suffers Major Correction, $1.9 Billion Liquidated on Top Exchanges
Bitcoin (BTC) failed at its first attempt to hit $50,000 after hitting a new all-time high on Sunday. The sharp correction that occurred in today’s early hours has led several crypto traders to count their losses.
Bitcoin Hits New All-time High Before Correction
Buoyed by the news of potential adoption by financial institutions, the price of Bitcoin enjoyed positive gains during the weekend. Starting at $46,000 on Friday, bitcoin continued to make steady upward movements.
On February 14, the leading cryptocurrency created a new all-time high of $49,487, according to data from CoinMarketCap. This paved the way for the cryptocurrency to move towards the vaunted $50,000 milestone. However, the market had other plans, and Bitcoin fell to as low as under $46,000 in the early hours of February 15. As expected, the sharp correction affected the crypto market wiping $1 billion off the total crypto market cap.
As of the time of writing, the price of Bitcoin has rebounded, with the coin exchanging hands for $47,611. Leading altcoin Ethereum also lost value during the correction period but is currently trading for $1,782.
$1.9 billion liquidated on Top Exchanges
The downturn in the price of bitcoins led to massive losses for traders across several top exchanges. According to analytical firm cryptorank.io, traders made huge losses with over $1.9 billion long positions liquidated within minutes.
Binance had the most considerable amount lost by traders, with over $993 million liquidated on the exchange. This was followed by HuobiGlobal with $370 million and Bybit with $292 million liquidated on their exchange trading platforms. At the same time, OKEx ($111 million) and BitMeX ($53 million) rounded up the top five exchanges where traders lost money due to the price movement.
This considerable loss from traders is a stark reminder that crypto trading remains a risky business for even the most ardent trader. The volatility in the market means that money can be gained or lost within minutes. Bitcoin remains poised to hit the $50,000 mark this week, and this could herald a new era for the leading coin.