Bitcoin Loses $6K Under Hours as Hundreds of Million of Longs Get Liquidated
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Bitcoin (BTC) had a good run over the week but had most of its gains erased yesterday as bears ramped up activities.
On Wednesday, the benchmark cryptocurrency touched a new record high at $69K with many altcoins, following poor US Inflation data. However, misfortune struck a few hours after the ATH move as BTC slumped to the $63K low, a whopping $6K drop.
This decline triggered over $700 million in leveraged BTC positions as the rest of the market suffered a similar fate. The widespread drop caused the total market valuation to plunge by about $200 billion.
According to a report from Bybt, 81% of the liquidations were long positions, and the bulk of this occurred on Binance. Meanwhile, the highest single liquidation occurred on Bitmex, with the account losing $65.66 million within a few hours. Interestingly, this trade was a Cardano (ADA) position, and it accounted for about 65% of the total ADA liquidations yesterday.
Most of the crypto market is yet to recover from the debilitating crash, with Ethereum (ETH), Binance Coin (BNB), Solana (SOL), Cardano (ADA), Ripple (XRP), Polkadot (DOT), and Dogecoin (DOGE), all “in a sea of red.”
Key Bitcoin Levels to Watch — November 11
Following the slump to the $63K low, BTC has recorded a minor recovery to the mid-$65K zone, as bulls fight to push the price back to previous highs. However, BTC remains over 5% below its weekly high.
That said, the primary cryptocurrency appears to be climbing out of bearish conditions on my hourly chart. BTC bulls need to secure a close above the $66K resistance over the coming hours or risk a bearish continuation towards the $63K low. A fall to the $63K level could further foment a correction to my ascending trendline near $62K.
Nonetheless, these bearish projections are highly unlikely at the moment, as Bitcoin remains overwhelmingly bullish on the larger timeframe.
Meanwhile, my resistance levels are at $66,000, $67,000, and $68,000, and my key support levels are at $65,000, $64,000, and $63,000.
Total Market Capitalization: $2.85 trillion
Bitcoin Market Capitalization: $1.22 trillion
Bitcoin Dominance: 43.2%
Market Rank: #1
