Market Turbulence: Bitcoin and Ether Witness Decline Due to Market Liquidations, Ripple Effects on Most Altcoins
Weekend Woes: Bitcoin Faces a Dip of $1,422, Sending Ripples Through the Crypto Market
Bitcoin faced a downturn on Monday, December 11, witnessing a decline of 4.37 percent and settling at a trading price of $42,026 (approximately Rs. 35 lakh). The cryptocurrency, which had struggled to sustain its value above the $43,000 (roughly Rs. 36 lakh) threshold over the weekend, experienced a notable dip of $1,422 (approximately Rs. 1.18 lakh) between December 8 and the present day. Analysts attribute this shift to a surge in take-profit and sell orders, resulting in widespread market liquidations.
According to Edul Patel, Co-Founder and CEO of Mudrex, the market is currently characterized by a tug-of-war between bulls and bears. The potential for an uptrend resumption exists if Bitcoin’s price surpasses the resistance level at $44,700 (approximately Rs. 37.2 lakh). Conversely, a dip below this level may find support at $40,600 (approximately Rs. 33.8 lakh).
Simultaneously, Ether experienced a decline of 4.76 percent on December 11, with its value resting at $2,234 (approximately Rs. 1.86 lakh) at the time of writing. Over the weekend, Ether observed a dip of $133 (approximately Rs. 11,096). The cryptocurrency landscape is currently navigating a dynamic interplay of market forces, prompting investors and analysts to closely monitor these fluctuations.
“The week has started with corrections within the crypto market. As per data on CoinGecko, the top 10 cryptocurrencies by market capitalisation are currently trading in the reds. Most of the losses, however, happened around 6 AM IST onwards. These could be a result of liquidations of over $335 million (roughly Rs. 2,793 crore) over the last 12 hours, with $300 million (roughly Rs. 2,501 crore) in long positions, as per data from Coinglass,” Parth Chaturvedi, Investments Lead, CoinSwitch Ventures.
Binance Coin, Ripple, Solana, Cardano, and Dogecoin — all are trading under losses today.
Polygon, Polkadot, Wrapped Bitcoin, Shiba Inu, Litecoin, and Bitcoin Cash are among other loss-making cryptocurrencies alongside Shiba Inu, Stellar, and Monero.
Avalanche, Leo, and Braintrust emerged today as the only three cryptocurrencies that are trading in profits.
With a gain of 7.57 percent, Avalanche is trading at $35 (roughly Rs. 2,926), whereas Braintrust and Leo minted miniscule profits of around a percent each.
“The abrupt market movement seems to be more of a correction or profit booking, considering BTC’s eight consecutive weekly candle closures in the green,” the CoinDCX team, advising investors to take cautious investment decisions.
