Bitcoin’s Wild Ride: From “To the Moon!” to “Oh No, My Wallet!” 🚀💸

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Well, folks, the crypto market decided to take a nosedive on Monday, and Bitcoin was like, “Hold my beer!” 🍺 It plummeted to a low of $91,178 before doing a half-hearted rebound to $95,000. Meanwhile, derivatives markets were a bloodbath, with $2.28 billion in liquidations. That’s right, $1.89 billion of bullish bets got wiped out faster than a New York minute. Thanks, CoinGlass, for the depressing stats! 😬

Over 732,326 traders got liquidated, and the biggest single liquidation order? A cool $38.78 million on HTX-BTC-USDT. Someone’s yacht just turned into a rowboat. 🛶

Bitcoin itself accounted for $450.55 million in liquidations in the last 24 hours. It’s been on a losing streak since hitting $106,484 on Jan. 30, and if today ends in the red, it’ll be its fourth consecutive day of losses. Talk about a bad week! 📉

The decline pushed Bitcoin below $100,000, and it lost the daily SMA 50 at $98,995. Cue the sad violin music. 🎻

$92,180 is now one of the most critical support levels for #Bitcoin $BTC, based on the MVRV Pricing Bands. If this level breaks, $74,400 becomes the next target.

— Ali (@ali_charts) February 3, 2025

As Bitcoin tries to steady itself amidst the chaos, analysts are glued to their screens, watching key price levels like it’s the season finale of their favorite show. According to crypto analyst Ali, $92,180 is the critical support level. If Bitcoin can’t hold it, the next stop is $74,400. Buckle up, folks! 🎢

The MVRV (Market Value to Realized Value) pricing bands are like the crypto version of a mood ring, showing whether Bitcoin is overvalued or undervalued. In times of volatility, these bands can give insights into potential price floors or resistance levels. Who knew crypto could be so… artsy? 🎨

Short-term holders in loss

According to Glassnode, as Bitcoin fell below $100,000 over the weekend, short-term holders (STHs) were left holding the bag. When Bitcoin hit $97,000, the supply in loss and profit held by STHs was evenly split at nearly 11%. That’s the largest loss exposure for STHs since early January. Ouch! 🤕

Meanwhile, long-term holders (LTHs) are chilling like villains, with less than 0.01% of their supply in loss. However, their unrealized profit share has been declining since November and is now at its lowest since September. No renewed accumulation yet, folks. 🕶️

Glassnode suggests that if Bitcoin trends lower, long-term holders might start accumulating again, stabilizing the price and signaling confidence in higher future prices. Until then, the market’s fate rests on the shoulders of short-term holders and their reactions to price swings. May the odds be ever in your favor! 🍀

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2025-02-03 19:15