$330 Million in Crypto Longs Liquidated as Bitcoin Tumbles Below $43,000

The price of Bitcoin slumped below $43,000 in the early hours of Monday morning, all but erasing the last week’s gains and causing almost $390 million in liquidations across the crypto futures market in the past 24 hours.

At time of publication, Bitcoin is trading at around $42,400, down  3% in the past 24 hours—having dipped as low as $41,800 in the past day, per data from CoinGecko.

Of the nearly $402 million in liquidated crypto positions over the past day, just over $345 million were long positions—with over $260 million in the past hour, according to data from CoinGlass. Over 109,000 traders were liquidated over the past 24 hours.

Of the total liquidations in the past 24 hours, Bitcoin saw over $103 million in liquidations, of which $89 million were long positions.

Bitcoin’s overnight slump puts a bump in the road of the past week’s crypto market rally, with the global crypto market cap of all cryptocurrencies dropping by 3.1% over the past 24 hours, to $1.65 trillion.

Bitcoin’s stumble means that the past week’s gains have been slashed to just 1.8%, however, the cryptocurrency is still up over 14% in the past month and 13% in the past fortnight, and a whopping 146% over the past year.

That uptrend has been fuelled by optimism over the potential approval of a spot Bitcoin ETF by the U.S. Securities and Exchange Commission, which has held a number of meetings with applicants in recent weeks.

In the wider market, there’s also a growing expectation that the Federal Reserve will cut interest rates in 2024; Goldman Sachs revised its projection on Monday morning to two such cuts in 2024, with the first expected in Q3.