Bitcoin (BTC) market has seen another short-lived surge in a display of market volatility. Bitcoin price dropped around 7.5% in the last day, closing at around $39,300.
Bitcoin sees massive liquidation on the day
The market dump has been accompanied by some pain for futures investors as well. Per data from Coinglass, Bitcoin futures liquidations in the last 24 hours crossed $81 million. And about $55.81 million worth of the liquidations occurred within one hour during the day.
The Bitcoin market action has nearly reset the price, as well as market cap to its previous day levels. Yesterday, Bitcoin pumped around 10% to reach an intra-day high of around 42,300. The market cap also reclaimed $800 billion levels.
Yesterday’s price action was on the back of bullish news that the White House was pushing to promote “responsible development” in the digital assets space.
However, with today’s dump, Bitcoin’s market cap is back to around $746 billion. The price action seems to have been called by several technical analysts who were not swayed by the market euphoria.
Market analyst “CryptoCapo” noted that despite the bounce above $40,000, the market still had a bearish structure.
Despite this bounce above 40k, price is still ranging between 33k and 45k. Bearish structure intact.
Main resistance: 45k-46k
Main target: 21k-23k pic.twitter.com/mRGeiPncMj
— il Capo Of Crypto (@CryptoCapo_) March 9, 2022
Similarly, “AltCryptoGems” told his over 160k followers that if Bitcoin’s price failed to break resistance at around $42,800, it could drop to $37,200.
We’re currently trying to break the first resistance at around $42.8K. If we do succeed, $45.3K seems to be the next target to break. 🚀
— Alt Crypto Gems 🍥 (@AltCryptoGems) March 9, 2022
How the rest of the market traded
Similar to Bitcoin, the rest of the crypto market has also seen a downwards correction. The global crypto market cap is $1.75 trillion, a 4.60% decrease over the last day.
The top altcoins including Ethereum, BNB, XRP, and Terra are all trading in the red. Ethereum, the number two crypto, has fallen 5.13% to now be trading at around $2,500.
However, long-term bullish outlooks for the crypto market remain intact among market participants. The CEO of Bitwise, Matt Hougan, told CNBC news that he expects Biden’s crypto order to spark a new bull market.