The entire crypto market is feeling serious pressure right now as Bitcoin and Ethereum saw a dramatic price drop. These slides wiped out weekly gains for major tokens in just 24 hours.
The main reason for the drop seems to be investors taking profits after a great week. The market’s total value is now down by 2.14%. It currently sits near $4.03 trillion. However, trading activity actually rose by 3%. This increased volume saw over $209 billion traded.
Bitcoin fell below $120,000. This drop was a modest 1.55% from its daily high. However, this small percentage still caused other tokens to follow its move.
This comes as Bitcoin reached a new high record of $126,000 on October 6. But investors started selling to secure their money. At the time of this report, Bitcoin is trading near $117,733. Its 24-hour trading volume reached $77.72 billion.
BTC Price action | Source: CoinMarketCap
Meanwhile, Ethereum saw a larger loss of almost 4%. This comes as the market started the week with a strong push, reaching an all-time high of $4,700 on October 7, and later settled between $4,400 and $4,300.
However, at the time of writing, the market has dropped, trading for $4,135, a 5.91% decrease in the last 24h. Its market cap decreased to about $499 billion.
ETH Price action | Source: CoinMarketCap
Consequently, this sudden fall caused major pain for traders. About 204,483 trading positions were wiped out, with a total of $891.27 million liquidated.
This number comes from data compiled by Coinglass. Most of the losses were by people who bet on prices going up. Specifically, over $717 million came from these ‘long’ positions. By contrast, traders who bet on prices falling lost $174 million.
This major slide follows a strong run for both leading tokens. Bitcoin and Ethereum recently reached record highs, but the sudden downturn shows just how unpredictable the market can be.
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