Bitcoin dropped by 8% in just one day

Over the past 24 hours, the cryptocurrency market has experienced significant turmoil. The value of bitcoin has fallen below $ 67,000, which has caused mass liquidation. This event led to the loss of more than $ 650 million, which significantly affected traders.

According to analysts, market volatility emphasizes the high risks associated with investing in cryptocurrencies. After reaching a record high of $ 73,700, the value of bitcoin fell by 8%. Initially, bitcoin bounced from $ 68,500 to $ 72,400. This recovery phase led to a significant liquidation of traders' shorts.

Subsequently, BTC $58,419.93 Bitcoin -2.69% Market capitalization $1.15 trillion VOL. 24 hours $2.97 billion met resistance at $ 72,400. It then plummeted to $ 66,700. The sharp drop caused $ 657 million in liquidation. Coinglass data shows that 193,100 traders were affected. Thus, market volatility remains a significant concern for investors.

The deviation of bitcoin from its recent peak has intensified discussions about speculative trends in the cryptocurrency market. Michael Hartnett, chief investment strategist at Bank of America Corp. Michael Hartnett expressed his concern on Bloomberg Television.

The expert suggested that the market may show signs of a bubble. This is evidenced by the shares of the Big Seven tech companies and the historical highs of cryptocurrencies.

In addition, BTC’s drop below the critical support level of $ 68,600 indicates a potential further decline. The token may even test the next support in the range of $ 65,000 to $ 66,000. This development has caused concern among market participants, given its implications for future price movements.

As a reminder, on March 12, the flagship cryptocurrency jumped to $ 73,000 per coin in a moment. However, later there was a pullback to $ 71,000. In total, over the past 30 days, bitcoin has risen in price by more than 50%, and its capitalization has exceeded $ 1.38 trillion.