- Bitcoin and Ethereum prices plummeted by 2.5% over the past hour as liquidation across exchanges crossed $120 million.
- $114 million in long positions in Bitcoin and Ethereum were liquidated, fueling a bearish narrative among investors.
- Analysts predict Bitcoin price will drop below $39,000 support, and Ethereum struggles to move past resistance at $3,043.
Bitcoin and Ethereum prices struggle to move past resistance as the crypto market downturn forces $120 million in liquidations. 95% of the liquidations are in long positions in Bitcoin and Ethereum.
Bitcoin and Ethereum prices prepare for drop with mass liquidation
Bitcoin and Ethereum prices witnessed a 4% drop overnight as $120 million in BTC and ETH positions were liquidated within an hour. Based on data from Coinglass, a crypto data analytics firm, 95% of the liquidations occurred in long orders.
Total liquidations over the past hour
Within a one-hour time frame, the Bitcoin price dropped below support at $39,000. Proponents have identified a sharp selloff in the Asian trading session on Monday as the key driver for the round of liquidations. Bitcoin and Ethereum prices posted a 4% drop, and the outlook among investors has turned bearish.
Altcoins like Cardano, Solana and Ethereum witnessed a sudden drop in their price, alongside liquidation in the Bitcoin and Ethereum market. A majority of the liquidation was in long positions, a total of $107 million, and another $3.91 million in short positions were liquidated.
Analysts have predicted a drop in Bitcoin and Ethereum prices. Crypto analysts at @TrendRidersTR believe Bitcoin’s weekly close was below the rider band, and the bearish momentum dot, a higher low was formed. This is a strong argument for bears as traders continue aggressive profit-taking and the trend remains indecisive.
$BTC Weekly close was bad, a full body candle below rider band and a bearish momentum dot, however it is still a higher low.
Strong arguments for bulls and bears. I will be focusing on low timeframe trades and agressive profit taking while the trend is undecisive. pic.twitter.com/gxZQibyVDO
— Trend Rider (@TrendRidersTR) April 18, 2022
@CryptoFaibik, a leading crypto analyst, believes Bitcoin bulls have fiercely defended the $39,000 support; however, losing this level could push BTC to the weekly EMA100 at $36,800.
@ShardiB2, a crypto analyst and trader, believes Ethereum price could drop further as resistance at $3,043 poses a challenge for the altcoin.