Bitcoin drops to $ 111,000

On the night of August 25, the price of bitcoin BTC $112,500.00 Mezo Wrapped BTC -3.15% Market capitalization $40.67 million VOL. 24 hours $2.79 billion fell below $ 111,000, which led to a sharp increase in liquidations on the crypto market. Later, the rate recovered above $ 112,000 and tried to consolidate at this level. Despite the partial recovery, the situation remains unstable.

The key factor behind the drop was the sale of almost 23,000 BTC by an investor who had received more than 100,000 coins seven years ago. According to Lookonchain, the transaction amounted to about $ 2.6 billion. After that, the same market participant opened a long position on Ethereum worth about $ 577 million.

The negative dynamics affected all crypto assets in the top 10 by capitalization. The largest losses were recorded by Dogecoin DOGE $0.21 Binance-Peg Dogecoin -11.60% Market capitalization $0.53 billion VOL. 24 hours $0.46 billion , which fell by 3.27%. Other major coins also experienced a decline, reflecting the overall market pressure.

According to CoinGlass, the volume of liquidations on futures contracts exceeded $ 675 million overnight. Most of it was accounted for by long positions, which indicates that the collapse was unexpected for most traders.

Earlier, Coinbase CEO Brian Armstrong said that the price of bitcoin could reach $ 1 million by 2030. However, recent events show that the market remains extremely sensitive to the actions of major players.