Bitcoin Price Falls Below $57,000 As Total Liquidations Surpass $200 Million

The price of Bitcoin has been crashing over the past 24 hours, dropping around 3.6% on the day. This brings BTC’s weekly losses to over 4% as the cryptocurrency is currently falling below $57,000.

Source: TradingView

Interestingly, the stock market is experiencing a considerable rally during the same period. The S&P 500 is up nearly 2% on the day, while the NASDAQ is also up 0.6%.

The rapid drop in Bitcoin price was most likely caused by 10K BTC being moved from a known US government wallet to a Coinbase Prime deposit wallet. Additionally, on Tuesday, BitGo moved Mt. Gox BTC worth $2 billion, raising concerns of increased selling pressure.

That said, Bitcoin’s fall below $57,000 led to more than $200 million worth of liquidations in the derivatives market.

Source: Coinglass

Most of the positions were held by long traders, which is to be expected during a down move. That said, ETH derivatives traders suffered the most, accounting for $70 million of the total liquidations. Ethereum is down 4.6% in the last 24 hours.

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