Amid Market Volatility, Centralized Exchanges Witness $230M Worth of Assets Liquidated During Crypto Crash Within 24 Hours

Article Rewritten:

Key Points:
– A false tweet about a new Bitcoin ETF caused the price to spike and then crash, resulting in $230 million worth of Bitcoin being sold to avoid losses.
– The liquidations during this period ranged from $140 million to $91 million as the price of Bitcoin rose to nearly $48,000 before falling back to around $45,000.
– The annualized Bitcoin volatility is currently at 50.97%, which is the highest it has been in several weeks.
– Despite the high volatility, Bitcoin has managed to stay above $45,000, even after the recent crash caused by the SEC X(Twitter) account hack.

Massive Sell-Off Due to False Information
The recent fluctuations in price have led to over $90 million worth of leveraged Bitcoin positions being liquidated. In total, $230 million of leveraged crypto assets were sold, with the majority being long positions valued at $140 million. Short positions also suffered significant losses, resulting in $91 million being liquidated.

As excitement builds around the potential approval of spot Bitcoin ETFs, the annualized volatility of Bitcoin has increased from 42.88% in mid-December to the current level of 50.97%, reaching a multi-week high.

Extreme Market Volatility
With the cryptocurrency market experiencing volatility, the pending decision by the U.S. Securities and Exchange Commission regarding spot Bitcoin ETFs has sparked intense speculation. While some analysts believe that the approval of such a fund could lead to a surge in price, a recent report by CryptoQuant highlights a potential risk.

In conclusion, the report emphasizes that unrealized profits among Bitcoin holders have reached unprecedented levels, suggesting that a price correction is possible despite the growing demand for digital currencies. The circulating supply of Bitcoin in profit has reached a remarkable multi-year high of 90.23%.

Tags
Bitcoin ETF