BTC prices have fallen by 5% after a successful rally that brought the token back above the $100,000 mark. This price fall has been due to macroeconomic headwinds and a major liquidation drive, where traders sought to capitalize on the price rally.
Another major cause that could have played a role in this dip is the feud between Musk and Trump. This feud could have major implications on the US economy, and that is why traders and business experts are looking to hedge their bets to brace for the eventual impact.
Pan Industry Outlook
The BTC dip was not an isolated incident—other tokens, such as SUI, HYPE, ADA, DOGE, SOL, XRP, and ETH, have also shown a dip in their prices. Therefore, the latest price sink is a phenomenon affecting the entire industry.
Just before the dip, CoinGlass released a statement suggesting that the market experienced a major liquidation drive, with around 22,000 crypto traders causing significant liquidation. According to the latest data, approximately $900 million in long positions and $100 million in short positions were closed over the last 24 hours.
Another notable occurrence is that around $3.8 billion in BTC and ETH are about to expire. This could prompt another drive for liquidation. All in all, the various markers suggest that BTC could experience another price rally, which could impact the overall ecosystem.
