Bitcoin $53K Push Sparks $300M Liquidation Wave

Bitcoin surged by several hundred dollars, hitting $53,000 for the first time in over two years, only to face a swift and forceful rejection. Yesterday witnessed a notable surge in Bitcoin, propelling it by several hundred dollars and reaching the $53,000 milestone for the first time in over two years. However, this achievement was short-lived as the cryptocurrency faced a swift and forceful rejection at that critical point.

The broader cryptocurrency market experienced a widespread decline on a daily scale, with many altcoins, including ADA, AVAX, SOL, ICP, APT, and others, displaying significant retracements.

Bitcoin Touched But Failed at $53K

The leading cryptocurrency, Bitcoin, had been demonstrating an impressive upward trend in recent weeks, escalating from under $40,000 to surpassing $50,000. This surge was fueled by the positive response to recently approved spot Bitcoin ETFs in the United States, attracting substantial investment in the initial weeks of trading.

Although Bitcoin’s price had flirted with the $52,000 mark on multiple occasions, it struggled to sustain the momentum required to breach the $53,000 threshold. Yesterday, the bulls made another attempt to push the price higher, successfully touching the coveted level and marking a new high since late 2021.

However, the bullish momentum was short-lived, as the bears swiftly intervened, initiating a sharp decline in Bitcoin’s price. In a sudden and forceful rejection, the cryptocurrency lost over two thousand dollars in the span of an hour, dropping below the $51,000 mark.

Bitcoin experienced another unsuccessful attempt to recover losses, currently hovering just above the $51,000 mark. The heightened volatility, coupled with the performance of alternative coins, resulted in approximately $300 million in liquidations over the past 24 hours, with long positions accounting for two-thirds of the total.

Alts in Retrace Mode

As Bitcoin teeters on the edge of losing its $1 trillion market cap status, its dominance over alternative coins remains steady at 49.2%. Altcoins, following a brief surge, witnessed retracements as well. Ethereum briefly surpassed $3,000, marking its highest point since April 2022. However, it retraced nearly $100 and now rests around $2,900. On the other hand, Binance Coin continued its positive momentum, registering a 2.4% increase to reach $362.

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Despite these individual performances, the majority of larger-cap altcoins are in the red. Cardano experienced the most significant decline at 5%, followed by SOL, AVA, DOT, LINK, TON, ICP, APT, NEAR, and others.

The overall cryptocurrency market cap experienced a slight overnight decline and currently stands at $2.050 trillion according to CoinGecko.