BTC’s price has sunk to a price level of below $65,000 on Thursday after breaking key support levels, a market scenario not seen since November 2024’s crash. Ethereum’s price is also in a free fall, going below $2,000.
The slide in prices of two of the largest market-cap cryptocurrencies has created a mass wave of liquidations in the market of 328,017 traders, with a total value of $1.5 billion liquidated, according to Coinglass
The crash has also created huge losses for cryptocurrency treasury firms such as Strategy and Bitmine, both of which sit on the largest corporate treasuries of Bitcoin and Ethereum. If the market continues to deteriorate, unrealized losses will continue to widen, currently estimated at billions of dollars.
Crypto analyst Simon Peters gave an analysis of the situation when the price of Bitcoin touched $70,000, saying “Heightened geopolitical tensions, macroeconomic uncertainty and disappointing earnings forecasts have led investors to reassess risk assets, including technology stocks and crypto, while the liquidation of leveraged long positions has further accelerated the downturn.”
“From a technical perspective, analysts are closely watching bitcoin’s 200-week moving average as a potential area where the price could find a bottom. Historically, this level has acted as strong support following major corrections and bear markets in 2015, 2018, 2020 during the Covid pandemic, and most recently in 2022,” he also said