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Highlights
- Crypto market liquidations shoot up majorly amid huge sell-off in Japanese market.
- BTC, ETH and the rest of the altcoin market extended double-digit losses.
- US recession and chances of hard landing increase with analysts hoping for the Fed to intervene mid-way.
There’s too much blood on Satoshi Street currently with the broader crypto market crashing by 18.1% with more than $400 billion eroded from the crypto market in the last few hours. The crypto sell-off has intensified in the Asian trading hours as Japan’s Nikkei crashed another 13% in the early trading hours on Monday, August 5. The recent crash of Nikkei has extended the index loss to more than 20% from the July top.
Crypto Market Liquidations Extend to $800M
As per the data from Coinglass, more than $1 billion have been liquidated from the crypto market in the last 24 hours, with most of the liquidations happening in the last 4 hours. Of them, $900 million is in long liquidations while $106 is in short liquidations.
The Bitcoin price has crashed more than 15% slipping all the way under $50,500. On the other hand, the correction in the altcoins space is even deeper with Ethereum price dropping by 20% and the rest of the top altcoins correcting anywhere between 15-20%.
With investors turning towards risk aversion in the global market, Bitcoin is seeing its worst sell-off ever since the FTX collapse in 2022. Last Friday, August 2, the Bitcoin exchange-traded funds (ETFs) registered their largest outflows in the past three months. Now, with the Bitcoin price falling under its 200-day moving average, the bears have the upper hand as of now.
Also Read: Ethereum ETF Outflows Hit $170M In A Week, What’s Next For ETH?
US Recession Coming Soon?
Expectations of the US recession have shot up significantly after with the probability of hard landing increasing significantly. Amid the unfolding market scenario, popular economist Peter Schiff writes:
“Central banks have played with fire for years. Now the world is about to be burned. They kept interest rates artificially low, blowing up a global debt bubble. But as inflation reared its head, rising rates pricked that bubble. Now it’s time to pay the piper. The game is over.”
Amid the current rout in the tech market and the uncertain global macro conditions, the US stock index futures also tanked considerably during the Monday correction. Also, the rising geopolitical tensions between Iran and Israel are adding fuel to the already weak market. The cryptocurrency market is certainly going to feel the heat of the risk-averse bets going ahead.
Also Read: Trending Crypto Updates For This Week
- Michael Saylor Credits Bitcoin for Strategy’s Outperformance Over ‘Mag 7’ Stocks
- XRP Overtakes Shopify, Verizon, Citigroup in Market Value as Price Eyes $6
- Altcoin Season Index Hits New High As ETH, SOL, DOGE, and XRP Rally
- ‘Huge Breakthrough,’ Peter Brandt Says as Dogecoin Reclaims $0.30 Ahead ETF Launch
- Bitcoin Bull Cycle Could Extend To 2026, Arthur Hayes Predicts
- Bitcoin Price Q4 Rally Looms as ETF Inflows Hit $642M—Analyst eyes $150K
- Pepe Coin Price Prediction as the Token Jumps Nearly 20% – Will Whale Accumulation Take it to $0.00003?
- Pi Coin Price Prediction As Adam & Eve Pattern Signals Breakout Rally To $0.45 Ahead
- HBAR Price Prediction Amid DTCC Listing and Archax Expansion — Is $0.50 Next?
- Ethereum Price Eyes a 40% Surge as Morgan Stanley Shifts Fed Cuts Forecast
