By NewsBlogger Bitcoin‘s value recently approached a new all-time high of around $69,044, before falling back to $65,000, resulting in over $670 million in crypto market liquidations; despite this, the cryptocurrency began to climb again, reaching about $68,500, driven largely by spot ETFs, which have seen a 60% gain over the past 30 days.
At a glance
- Bitcoin’s value recently neared a new all-time high of approximately $69,044, reaching $68,551 in early trading in Asia on March 5.
- The price later fell to $67,000 and then to $65,000, resulting in over $670 million in crypto market liquidations, including $388 million in longs and $286 million in shorts.
- Bitcoin trades accounted for about $201 million of the liquidations, and Ethereum (ETH) trades accounted for another $110 million. Approximately $66 million was liquidated from trades involving memecoins like DOGE and SHIB.
- Bitcoin’s rise has been largely driven by spot ETFs, with a 60% gain over the past 30 days. More than $7.5 billion worth of BTC has been recorded as aggregate inflows to the new nine spot ETFs since their launch in mid-January.
- Despite fluctuations, Bitcoin’s dominance over altcoins remains at 50% on CoinGecko, and more ETF filings from large investment firms are expected to continue throughout the year.
The details
Bitcoin Nears All-Time High
Bitcoin’s value has recently experienced a significant increase, nearing a new all-time high against the dollar at approximately $69,044, a record set in late 2021. In early trading in Asia on March 5, Bitcoin prices reached $68,551, just 0.7% away from its all-time high. However, the price later fell to $67,000 and then even further, dropping back to $65,000 after briefly surpassing $69,000.
This drop resulted in over $670 million in crypto market liquidations, including $388 million in longs and $286 million in shorts. According to Coinglass, a total of 198,577 traders were liquidated within 24 hours, with the largest single liquidation being a BTC/USDT trade on Binance for $8.23 million.
Market Liquidations and Recovery
Bitcoin trades accounted for about $201 million of the liquidations, and Ethereum (ETH) trades accounted for another $110 million.
Approximately $66 million was liquidated from trades involving memecoins like DOGE and SHIB. Despite the fall, Bitcoin’s price started climbing again, breaking out of its $62,000 resistance. The cryptocurrency reached about $68,500, its highest price since November 2021, and just over $500 short of breaking its all-time high.
Bitcoin currently trades two grand below its daily peak, and its market cap is over $1.3 trillion. The total crypto market cap has surpassed $2.6 trillion on CoinGecko for the first time in more than two years.
Bitcoin’s Rise and Altcoin Performance
Bitcoin’s rise has been largely driven by spot ETFs, with a 60% gain over the past 30 days.
More than $7.5 billion worth of BTC has been recorded as aggregate inflows to the new nine spot ETFs since their launch in mid-January, despite a massive outflow from Grayscale’s recently converted GBTC fund.
On March 4, the ten ETFs had their second-biggest trading volume day, with around $5.5 billion. BlackRock’s IBIT fund alone did $2.4 billion and has crossed $11 billion in assets under management. Meanwhile, other altcoins have seen varied performances.
Shiba Inu and Dogecoin have seen significant gains, with daily increases of over 40% and around 25%, respectively.
ICP has also seen an impressive 21% surge. Ethereum reached a multi-year peak of around $3,700, but it remains 26% down from its all-time high. Some larger-cap altcoins have seen slight retractions, led by ADA‘s 4% slip. Analysts have made various predictions about the crypto market.
CryptoQuant CEO Ki Young Ju predicted a “sell-side liquidity crisis” this year due to ETF inflows. However, Vijay Boyapati, author of The Bullish Case for Bitcoin, stated that it’s normal for Bitcoin to pull back after reaching a new all-time high.
He noted that large sellers often use high liquidity moments to sell, leading to price discovery. Despite these fluctuations, Bitcoin’s dominance over altcoins remains at 50% on CoinGecko, and more ETF filings from large investment firms are expected to continue throughout the year.
Disclaimer: The information provided is not trading advice. Holoclases Tech Blog holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.
