Bitcoin slipped under $ 120,000 after he had reached a new of all time near $ 123,000 on July 14, for fear of US economic inflation.
According to data from CryptoSlate, The best crypto acts around $ 116,894, which represents a decrease of more than 5% in just 24 hours.
Nicolai Sondergaard, a research analyst at Nansen, said CryptoSlate That a price correction was expected after the strong Run of Bitcoin from $ 108,000 to $ 122,000. He noticed a significant liquidation activity around $ 116,300 Mark, making it an important psychological level for traders to check.
Remarkable, facts From Coinglass shows that more than $ 461 million in liquidations took place on the market.
Long traders, who expected the price of Bitcoin to continue to rise, were confronted with the victims of losses, with $ 383 million in liquidations. Conversely, lost short traders $ 78.54 million in the same period.
Bitcoin traders who bet on further profits took the heaviest losses, in the amount of more than $ 150 million, while Ethereum traders saw around $ 10.5 million in liquidations.
This widespread liquidation on the market reflects the volatility and risk that traders are confronted in the crypto space, especially during periods of significant price corrections
Bitcoin is waiting for American inflation results
Market analysts also attribute the withdrawal of Bitcoin to broader economic conditions in the United States.
Analysts at Bitfinex noted that Bitcoin investors adopted a cautious position prior to the release of the US Consumer Price Index (CPI). The CPI follows the average price change that is paid for goods and services. It is an essential measure of inflation and reflects the purchasing power of a currency.
The analysts told CryptoSlate That:
“With the core inflation, around 3.0-3.1%yoj expects, a heter-this print (eg Core> 3.2%) could increase the Fed Lasing, Dempe Market sentiment and increase the loan costs. This would strengthen the dollar and the demand for non-favorite assets such as bitcoin, possibly the pull -back, possibly the pull -back,” “” “” “” “
A softer CPI lecture could, however, turn the market story, especially if the inflation of the headline drops below 2.5% and the core trends to 2.9%. They explained:
“We saw this playing this out: a cooler CPI print led to a sharp rally about both shares and crypto. A similar result today could push Bitcoin back to $ 120k+ again, especially if ETF steam remains strong as they have in the past 2 weeks.”