The cryptocurrency market is notorious for its price fluctuations that emerge without any pattern or forego warning of any kind. Something similar surfaced yesterday when massive price fluctuations were seen that drove the price of various cryptocurrencies such as Bitcoin and other altcoins as well. The market was predicted to do better with such positive progression setting in for the past week or so, but this sudden plummet has set the panic above and beyond, and about $1.8 billion has been liquidated in response to this panic created within the crypto market.
Cryptocurrency is known to shift angles and sides the way it pleases without any strings being attached to it. There are reports from years before when Bitcoin was in the plummet, and then prices were all dandy and fine and then once again, in a market crash, Bitcoin and other altcoins lost their value pretty quickly.
This is an ongoing scenario that is going to repeat itself time and again, smart investors will make money in this process, and others who so dearly hold onto their crypto without any plan or scheme will take the heavy toll. Bitcoin was at an all-time high of about $57,600 yesterday when an uncanny chain of events spiralled, and the price of Bitcoin plummeted to $54,000. Now it might not sound much, but given the fact that billions of dollars and the future of corporate investing firms are at stake, liquidating crypto assets was the only safe haven they could reach for, and this is what transpired. About $1.74 billion was liquidated on the exchanges.
Altcoins Follow Bitcoin Price Fluctuations
It is not a new concept. The functional element attached to this phenomenon is tested through the rigorous market and analytical trials that when Bitcoin prices start to degrade, altcoins embark on the same journey. With such an immense price drop today regarding Bitcoin, other altcoins such as Ethereum lost 12% of its value and degraded from about $2k to $1800. Ripple decreased by about 18%, and the Binance coin lost about 23% of its current value.
After this short intervention within the crypto market, the market did bounce back, and Bitcoin reached another price point of $57,900 higher than the last milestone from where it significantly dropped. This hide and seek of the crypto market ended up making investors deprived of their finances, and those who liquidated in a panic had to sustain heavy loses, which resulted in about $1.74 billion worth of liquidation occurring in the last 24 hours or so.