Bitcoin (BTC) Slips Another 8% With 75% Long Positions Getting Liquidated In Last One Hour

By Bhushan Akolkar
Published June 21, 2021 Updated June 21, 2021
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Bitcoin (BTC) Slips Another 8% With 75% Long Positions Getting Liquidated In Last One Hour

By Bhushan Akolkar
Published June 21, 2021 Updated June 21, 2021

Bitcoin (BTC) is down another 8% today with its price slipping under $33,000 as the world’s largest cryptocurrency continues to lose strength. The latest price crash comes as long positions worth nearly 1000 BTC have been liquidated over the past hours. Citing data from on-chain data provider CryptoQuant, Chinese crypto-journalist Colin Wu reported:

“CryptoQuant data shows that in the past hour, the number of orders with long positions liquidated was 991.69 BTC. AICoin shows that the amount of liquidation in the past hour was 244 million US dollars, and the long liquidation accounted for 75%”.

Courtesy: CryptoQuant

It looks like the bearish momentum for Bitcoin is strong at this point and will continue for a while. Some analysts are closely watching the developments in the equity market. Analyst Willy Woo predicted that equity markets will decide the further price action in Bitcoin irrespective of the on-chain fundamentals.

Bitcoin Miners Holding Strong

Despite the massive crackdown by Chinese authorities in recent times, Bitcoin miners are not willing to part ways with their holdings anytime soon. CryptoQuant CEO Ki-Young Ju shares data for the “Miner Direct Selling Index” which shows that the flow of Bitcoins from miners to exchanges has been decreasing. The data shows that there’s been a significant drop in the direct selling index since March 2021.

Courtesy: CryptoQuant

Last Saturday, the Chinese authorities asked miners from the Sichuan region to shut down operations. As per industry estimates, nearly 90% of the Bitcoin mining operations have been shut down with the Sichuan crackdown.

Popular crypto analyst PlanB, the author of the stock-to-flow (S2F) model noted that Elon Musk’s energy FUD and the Chinese crackdown resulted in this BTC price crash. He expects Bitcoin to trade under pressure for the rest of June and July. However, PlanB notes that while considering the worst-case scenario, Bitcoin is still going $135K by the end of this year.

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Disclaimer
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
About Author
Bhushan Akolkar
833 Articles
Bhushan is a FinTech enthusiast and holds a good flair in understanding financial markets. His interest in economics and finance draw his attention towards the new emerging Blockchain Technology and Cryptocurrency markets. He is continuously in a learning process and keeps himself motivated by sharing his acquired knowledge. In free time he reads thriller fictions novels and sometimes explore his culinary skills.

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