Shortly thereafter reaches its all-time high (ATH) of $69,170.63, the leading digital currency is now seeing unprecedented losses in profits.
Bitcoin price triggers a market-wide sell-off
So far this week, the Bitcoin price has remained on a sustained growth path. Recent market data shows that the price of the digital currency fell by 5.2%, marking the most epic and violent flash crash since the beginning of the year. At the time of writing, the coin is now worth $65,215.38 and has a market cap of $1,284,039,233,283.
The unexpected price correction also resulted in more than $680 million in total liquidations in the last 24 hours. Per Data from CoinGlass. The analytics platform puts the number of liquidated traders at 200,243, with long traders suffering the most.
Of the assets profiled, Bitcoin saw the largest liquidations worth a total of $201.14, with long traders affected at $111.45 million and short traders at $89.69 million.
Ethereum also suffered heavy liquidations following its price rose above the $3,500 mark for the first time since November 2021. The coin's liquidation in 24 hours amounts to $109.6 million, with long positions at $37.24 million and short positions at $72.36 million turn off.
Other crypto assets such as Dogecoin (DOGE) and Shiba Inu (SHIB) also saw a decline in their bullish momentum, with their respective liquidations reaching $35 million and $33 million, respectively.
Temporary but necessary blip
The Bitcoin price correction is considered necessary given the massive bullish trend the digital currency has seen over the past week. Bitcoin is up more than 12% in the last seven days and more than 50% in the last month.
With this correction now underway, analysts are optimistic that it will serve as an important springboard to push the price to new highs.
The sell-off in the Bitcoin price is probably more of a knee-jerk reaction, considering that the majority of addresses are making profits. The influence of the Discover Bitcoin exchange-traded funds (ETF) acted as the main catalyst for almost two months. Given the inflows and Bitcoin halving sentiment, the coin's price is likely to pick up pace again in the short term.
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