Someone cashout 1 billion $ from Bitcoin last night.After that Bitcoin and Ethereum goes down more than 12% in just 6 minutes
Bitcoin and Ethereum are enjoying a green rally from one week now. Bitcoin raised yesterday from 10518$ to goes up to 12123$ about 5% growth in 24 hours and Ethereum also raised from 325$ to 415$ more than 20% growth in just last 24 hours.
BTC/USD pair on Binance Exchange
Ethereum/USD pair on Binance Exchange
Ethereum reaches the top and crossed 400$ in the last two years first time. but after a long green rally yesterday night its suddenly goes stop this rally by some crypto whales and bitcoin and Ethereum goes down more than 12% in just 6 minutes .Bitcoin price suddenly crashed by roughly $1.4K in minutes to $10,600 and rebounded slightly as weekend volatility continues.
BTC/USD Down chart on Coinbase Exchange
ETH/USD down chart on Coinbase Exchange
There appear to be two main reasons behind the sudden cascade of liquidations. First, the volume in the cryptocurrency market tends to drop during weekends. Second, the market was heavily swayed to longs or buyers.
The cryptocurrency market tends to see large liquidations during the weekend. The liquidity often drops as there are fewer active traders in the market. Lower volume leads to massive price movements, as cryptocurrencies become more vulnerable.
Mass liquidations become more likely during the weekend because one large liquidation could trigger a cascade of liquidations. When a long contract gets liquidated, as an example, it forces the buyer to market sell, causing selling pressure.
As hundreds of millions of dollars worth of long contracts began to get liquidated, Bitcoin and Ether dropped rapidly. Bitcoin declined from $12,123 to $10,518 within 15 minutes, while ether declined from $417 to $325.
how the market will go bull or bearish it will depend now on the action of traders. if they buy more from here than it will revive time for the crypto market and if the buyer does not have faith at this time in crypto and they believe that it will come more down than cryptocurrency prices will come down.
AUGUST 01, 2020
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