Bitcoin continues to decline today below 35,000, with reminders of fraudulent risks again in the crypto market and more massive liquidations of long positions
While bitcoin’s losses yesterday coincided with the highest liquidation of purchasing positions in the crypto market in about ten days, at $92 million yesterday, according to data provided by CoinGlass.
Today’s market analysis on behalf of Samer
Bitcoin continues to decline this morning, reaching the $34,350 level at approximately 7:30 a.m. GMT. While Ethereum is once again trying to consolidate above the $1,800 level. While also, Solana is trying to stabilize above $39, after the losses that followed reaching the highest record levels this year.
While bitcoin’s losses yesterday coincided with the highest liquidation of purchasing positions in the crypto market in about ten days, at $92 million yesterday, according to data provided by CoinGlass. While bitcoin acquired $26 million. While the liquidation of long positions in bitcoin represented about 83%, compared to 17% of short positions. As for Solana, it also faced record liquidations of long positions amounting to more than $6.3 million during yesterday, representing more than 67% of the total liquidations, after exceeding the level of $46.
I think that the markets see that the levels above $35,000 for Bitcoin are exaggerated levels now and that any exceeding these levels will bring bitcoin short sellers back to the forefront to push it down violently in the absence of real and tangible positive stimuli. While Solana, despite the accelerated efforts of its developers to bring it to first place among altcoins instead of Ethereum, it is still clashing with the negative sentiment prevailing in the markets.
It seems that this week lacks fundamental events that actually move the markets, at least the positive ones. Yesterday, investors recalled one of the most prominent obstacles to restoring confidence in this technology and pushing it towards more widespread adoption.
This was with the conviction of the founder of the bankrupt FTX exchange, Sam Bankman-Fried. He was convicted of all seven charges against him related to defrauding FTX customers of eight billion dollars, which is the largest number in the history of the sector. While Bankman-Fried has pleaded not guilty to all charges of which he was convicted.
This conviction encouraged more crypto critics to voice their concerns. Congressman Brad Sherman described the cryptocurrency market as a garden of snakes due to the huge amount of fraud.
While this news does not seem to have moved the markets much, as the conviction was expected and clear. However, it may continue to maintain traders’ fears of adopting this technology and revive the upward trend that we witnessed before the year 2022, the return of which investors are anticipating and clinging to any positive sign that may revive these positive sentiments.