Bitcoin (BTC) experienced a sudden drop in value on April 19, as a series of long liquidations caused BTC/USD to plummet. The pair hit a low of $29,015 on Bitstamp, following a strong rebound above the $30,000 mark on the previous day. Despite the bulls’ efforts to maintain higher levels, volatility returned and Bitcoin fell to its lowest point since April 10. Michaël van de Poppe, founder and CEO of trading firm Eight, described the move as a “deep correction on the markets,” as Bitcoin was unable to hold at $29,700-29,800 and plunged through a cascade of liquidations.
Monitoring resource Material Indicators had warned of changing conditions on the Binance order book, suggesting that the result could swing either way, with bulls or bears profiting. Meanwhile, bullish trader Crypto Kaleo remained optimistic, reminding Twitter followers that “dips are gifts” and calling the retracement “beautiful” for tagging the range lows.
However, the situation was not so positive for those who were long on BTC, as liquidations began to stack up rapidly. Total crypto long liquidations for April 19 stood at around $175 million on platforms monitored by data resource Coinglass. This followed a painful day for shorts as BTC/USD returned above $30,000.
It remains to be seen how Bitcoin will perform in the coming days, with some analysts predicting further downside. However, the cryptocurrency has proven to be resilient in the past, and many investors remain bullish on its long-term prospects. As always, it is important to exercise caution and do your own research before making any investment decisions.
