- Bitcoin and Ethereum prices plummeted by 2.5% over the past hour as liquidation across exchanges crossed $120 million.
- $114 million in long positions in Bitcoin and Ethereum were liquidated, fueling a bearish narrative among investors.
- Analysts predict Bitcoin price will drop below $39,000 support, and Ethereum struggles to move past resistance at $3,043.
Bitcoin and Ethereum prices struggle to move past resistance as the crypto market downturn forces $120 million in liquidations. 95% of the liquidations are in long positions in Bitcoin and Ethereum.
Bitcoin and Ethereum prices prepare for drop with mass liquidation
Bitcoin and Ethereum prices witnessed a 4% drop overnight as $120 million in BTC and ETH positions were liquidated within an hour. Based on data from Coinglass, a crypto data analytics firm, 95% of the liquidations occurred in long orders.
Total liquidations over the past hour
Within a one-hour time frame, the Bitcoin price dropped below support at $39,000. Proponents have identified a sharp selloff in the Asian trading session on Monday as the key driver for the round of liquidations. Bitcoin and Ethereum prices posted a 4% drop, and the outlook among investors has turned bearish.
Altcoins like Cardano, Solana and Ethereum witnessed a sudden drop in their price, alongside liquidation in the Bitcoin and Ethereum market. A majority of the liquidation was in long positions, a total of $107 million, and another $3.91 million in short positions were liquidated.
Analysts have predicted a drop in Bitcoin and Ethereum prices. Crypto analysts at @TrendRidersTR believe Bitcoin’s weekly close was below the rider band, and the bearish momentum dot, a higher low was formed. This is a strong argument for bears as traders continue aggressive profit-taking and the trend remains indecisive.
$BTC Weekly close was bad, a full body candle below rider band and a bearish momentum dot, however it is still a higher low.
— Trend Rider (@TrendRidersTR) April 18, 2022
Strong arguments for bulls and bears. I will be focusing on low timeframe trades and agressive profit taking while the trend is undecisive. pic.twitter.com/gxZQibyVDO
@CryptoFaibik, a leading crypto analyst, believes Bitcoin bulls have fiercely defended the $39,000 support; however, losing this level could push BTC to the weekly EMA100 at $36,800.
So far $BTC Bulls Defending the 39k Crucial Support..!!
— Captain Faibik (@CryptoFaibik) April 18, 2022
If Bulls lost the 39k Support, Next Stop would be Weekly EMA100 (36.8k)#Crypto #Bitcoin #BTC #BTCUSD pic.twitter.com/BPuCLbvI6O
@ShardiB2, a crypto analyst and trader, believes Ethereum price could drop further as resistance at $3,043 poses a challenge for the altcoin.
$ETH
— Don't Follow ShardETH B If You Hate Money $ (@ShardiB2) April 16, 2022
Resistance continuing to present a problem here pic.twitter.com/RVD8Q1QIyh
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Celebrity meme coins controversy continues amid Pump.fun revenue dominance
Pump.fun outperformed the Ethereum blockchain on Tuesday after raking in $1.99 million. Following this achievement, a meme coin based on actress Sydney Sweeney was the subject of controversy after its developers dumped their bags on investors.
PEPE's on-chain metrics indicate potential rally after weeks of silence
PEPE has struggled to see any significant price move after reaching an all-time high in May. Increased adoption rate and low MVRV ratio indicate a bullish run may be on the horizon. A single PEPE outflow from Binance worth $14.7 million gives credence to signs of bullish expectation.
Ethereum has failed to overcome key resistance despite bullish sentiment surrounding ETH ETF
Ethereum (ETH) is down more than 1.4% on Tuesday following another ETH sale from the Ethereum Foundation. Meanwhile, crypto exchange Gemini's recent report reveals that ETH ETF could see about $5 billion in net inflows within six months of launch.
Crypto community blasts Polkadot following report of treasury spending
Polkadot reports $87 million of treasury spending during H1. Crypto community members expressed harsh feelings toward the DOT team's high spending. DOT is up more than 2% in the past 24 hours but risks correction following the report.
Bitcoin: BTC price correction could end in July, according to seasonal data
Bitcoin (BTC) price appears poised for a decline this week, influenced by slight outflows in US spot ETFs, selling activity among BTC miners, and a combined transfer of 4,690.28 BTC to centralized exchanges by the US and German governments.