First the bears, then the bulls; R$2.3 billion is offset against the rise of Bitcoin

When Bitcoin reached $38,000 on Thursday (9), the market liquidated R$1.3 billion worth of bear shorts, which were betting on the fall of BTC and other cryptocurrencies.

Shortly afterwards, Bitcoin fell 6.25% in a few minutes, resulting in a R$1 billion liquidation from bulls who believed the rise would continue. In total, the settlements reached R$2.3 billion this Thursday (9).

The most significant liquidations occurred in Bitcoin trading. In the last 24 hours, BTC traders were liquidated for R$840 million. Next comes Ethereum, settling R$325 million.

Volatility is taking over the cryptocurrency market

Bitcoin surprised the market again between dawn and the morning of this Thursday (9), rising to US$38,000, amid rumors that the SEC may approve several ETF requests this week.

However, the market didn’t even have time to celebrate the new price range. Earlier this afternoon, Bitcoin fell 6.25%, from $38,000 to $35,600. At the time of writing, the largest cryptocurrency on the market is in the $36,318 range.

Bitcoin is experiencing a strong rise, followed by a sharp fall.  Trading view.
Bitcoin is experiencing a strong rise, followed by a sharp fall. Trading view.

Another cryptocurrency experiencing strong volatility this Thursday (9) is Ethereum. After gaining over $100 within two hours and staying above $2,000, ETH also showed a large red candle on the price chart but managed to maintain its gains.

As a result, traders who used leverage were liquidated. According to Coinglass data, R$2.3 billion was settled. About 56% were short positionsothers 44% were long positions. In other words, the market has spared no one; first the bears were hit, then the bulls.

Position liquidations reach R$2.3 billion, hitting both bears and bulls in times of volatility.
Position liquidations reach R$2.3 billion, hitting both bears and bulls in times of volatility.

With Bitcoin’s stellar performance in recent weeks, altcoins rising 1,000% in value and even one of the industry’s biggest critics launching his cryptocurrency, it appears the market is back to normal. The days of apathy are a thing of the past.

For traders who are no longer used to so much volatility, the recommendation is to forget about high leverage. After all, even without it, the market already offers good opportunities.

Source: Live Coins

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