In a swift and tumultuous turn in the market today, Bitcoin’s value experienced a significant dip, briefly plummeting to as low as $25,409, before managing to claw back some ground. The cryptocurrency faced a staggering decline of over 7% in a mere hour of intense trading this afternoon in the United States.
This downturn marked an extension of a day filled with losses that have effectively wiped out the majority of the gains Bitcoin had accrued since the month of June.
The source of this sudden sell-off appears to have a correlation with a report published by The Wall Street Journal. The report suggests that SpaceX, the privately-held space exploration company led by tech magnate Elon Musk, had reportedly adjusted the valuation of its bitcoin holdings, resulting in a depreciation of approximately $373 million over the past two years.
Additionally, it is believed that SpaceX might have even divested itself of some of its Bitcoin holdings. However, it’s important to note that no official statement has been released by either SpaceX or Elon Musk regarding these allegations. As it stands, the situation is still largely regarded as a rumor awaiting official confirmation or clarification.
While the ongoing narrative unfolded, the cryptocurrency market faced a widespread decline that affected major tokens. Ethereum, the second largest currency, dropped by 7%. Similarly, other prominent tokens experienced significant losses: XRP declined by 14%, Dogecoin slipped by 9%, and Litecoin witnessed a 13% decrease in value.
These declines across the board have undoubtedly intensified the market’s atmosphere of uncertainty, leaving investors and enthusiasts alike to grapple with the rapidly changing landscape of digital assets over the past 24 hours.
Bitcoin’s $498.62M Hit in Recent Asset Liquidation
According to Coinglass, the last 12 hours have witnessed a substantial wave of liquidation sweeping across the entire network of cryptocurrencies. A staggering total of $1 billion worth of assets were liquidated during this timeframe, revealing the intensity of the market’s recent volatility.
Bitcoin took a significant hit among the assets liquidated, accounting for approximately $498.62 million of the total liquidation amount. Ethereum, another major player, faced a liquidation of around $308.97 million. XRP faces $29 million while others experienced $57.42 million in the last 24 hours time zone.
Well, the crypto market landscape has experienced significant liquidation figures and subsequent price drops, highlighting the ongoing volatility. It raises questions about the future trajectory of digital assets, which investors and observers closely monitor to determine if these developments indicate a short-term correction or the beginning of a more prolonged trend.
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