Bitcoin price continued to decline! Yesterday evening around 18:00, the price of Bitcoin (BTC) plummeted to $59,570. Although it later rebounded above $60,000, it fell again in the early morning of today (4), reaching a low of $59,375. As of the latest update at 10 am this morning, the price of Bitcoin further dropped to $57,800, reaching the lowest level in nearly two months.
According to data from Coinglass, in the past 24 hours, the total amount of liquidations on the entire network reached $263 million, with over 100,000 people affected. Among them, long positions were liquidated at $233 million, while short positions were liquidated at $29.9 million. The largest liquidation occurred on the ETH/USD trading pair on OKX, with a value of up to $4 million.
The crypto community is grieving: Let’s trade coins together in the next life…
Faced with such a drastic market situation, the crypto community is in mourning. Some say that the crypto market is heading to the “graveyard”. Recently, many jokes about the downturn have resurfaced in the crypto community:
“The US stock market lives in the fear of rising every day, while the A-shares are full of fighting spirit in the decline, mocking the false bubble of the US stock market.
And we are different. We have different moods every day. Sometimes we are as happy as a fool, and sometimes we are losing so much that we want to jump off a building. We keep saying that the big one is coming, the big one is coming. We live a tiring life after trading coins, staying up late every day, our health deteriorating, and our money gone.
At this point, the ones I am most sorry for are my family.
Crypto KOL (Key Opinion Leader) Hebi posted a joke on X platform: “Let’s trade coins together in the next life.”
The entire crypto market, especially altcoins, is suffering from a dismal decline, and many have approached the lowest prices of the bear market. Many coin enthusiasts are surprised that Meituan Takeaway can take off running, saying, “The most regretful thing is throwing away the shared electric bikes.”
Crypto analyst Ali stated on X platform that although long positions were liquidated by $280 million and short positions were liquidated by $25.4 million in the past 24 hours, compared to the massive liquidation events of over $1 billion in history, the amount of liquidations this time is relatively small. Ali believes that the decline of Bitcoin may not be over yet.
The majority of the market believes that the reasons for the decline are as follows:
– MTGOX refunds will begin this month.
– The German government continues to sell Bitcoin.
– The United States is selling Silk Road assets.
– Yesterday’s JOLTS data reflected a strong stance on employment.
– PMI data continues to reflect economic strength.
– Federal Reserve Chairman Powell expressed a lack of optimism about interest rate cuts this year.
Many individuals are concerned about the decline being related to the selling by the US government, German government, Mentougou, and others. However, based on the actual data of sales on exchanges, the transfer volume during the three working days this week was surprisingly low, reaching the lowest point in the past six months. Therefore, selling off is not the main reason for the decline in BTC price. The main reasons are still the insufficient liquidity and buying power.
How to find opportunities in this hellishly difficult bull market
This kind of decline without any negative news is actually an exchange’s washout. In this bull market, exchanges have lost the pricing power of Bitcoin and dare not manipulate it. However, altcoins still have enough power to manipulate their prices. This is why whenever Bitcoin shakes, altcoins panic.
So, which coins should we buy next? First of all, I believe we should invest in sectors that can withstand bull and bear markets and cycles.
Despite the drastic decline, MERL’s on-chain TVL (Total Value Locked) performance is still good. If it continues to drop by 20-30%, it would be a good opportunity to buy more. If Runecoin can drop to around 0.002 with a total market value of four to five million dollars, it would be even better. WLD undoubtedly belongs to the AI sector’s leader, and the AI track is a long-term one, so it is worth keeping an eye on.
ORDI, RUNE, and BB can be accumulated now, and it’s better to buy more if they drop further. Ethereum should be thoroughly pessimistic in this round, and meme coins are currently a bit overvalued with high market caps, so their momentum is weak. The market confidence is currently at a low point, and coins like People and Bome will have value only if they drop more than 50%.
This washout in the bull market is bloodier than before, so we cannot compare it with previous bull markets. The cryptocurrency environment and trends are different now. The bloodier the washout, the more panic retail investors become, and the less they dare to enter the market. It feels like a bear market despite being in a bull market, and that’s why many people believe that this is the tail end of the bull market and the beginning of a bear market. But listen to me.
Bitcoin ETF approval has just happened, and institutions are just starting to enter the market.
Bitcoin’s halving was only two months ago, not even three months, and the price has not yet surpassed the previous high.
Interest rate cuts have yet to begin, and the market funds have not flowed in. Currently, only existing funds and ETF funds are providing support. Altcoins have not had a major breakthrough yet, and some people are saying that the bull market has already ended. If it has really ended, then it is not a bull market at all, it is just a small wave in the middle of a bull market.
Don’t be afraid of FUD (Fear, Uncertainty, and Doubt), don’t overthink, and stay calm. For those who have bought Bitcoin, they can play around every day for half a year, play games, go on trips, just don’t frequently check the market and don’t engage too much with people in the crypto circle. This method is only suitable for those who can’t hold on, and it is the best strategy for them.
