Bitcoin Price Drop: Over $372 Million in Crypto Futures Positions Liquidated
Bitcoin Price Drop – Over the past month, the cryptocurrency market has experienced a significant downturn, losing $420 billion in total value. As of January 9, 2025, Bitcoin is edging closer to the $90,000 mark, having recorded a 3% decline on the day. Over the past seven days, Bitcoin has dropped by 5.5%, continuing its struggle to hold its ground amid global market fluctuations.
Solana and Tether Reflect Market Volatility
The recent price fluctuations have had a considerable impact on major cryptocurrencies. Solana (SOL), one of the top ten cryptocurrencies, saw a dramatic 6.8% decline, leading the list of the hardest-hit assets. Despite this, Tether (USDT) continues to be a major player in the market, with $61.42 billion worth of Bitcoin traded within a 24-hour period, most of which was influenced by selling pressure. Interestingly, Tether reached a staggering $122 billion in daily trading volume as market participants increasingly turned to this dollar-pegged stablecoin in exchange for Bitcoin and various altcoins. Similar trends are also observed with other stablecoins like USDC and FDUSD.
Bitcoin’s Premium in South Korea: A Significant Development
In an interesting development, Bitcoin is currently trading at a premium in South Korea. While the global average price of Bitcoin hovers around $91,877, Upbit—a leading South Korean exchange—has seen Bitcoin prices climb to $95,301. This divergence is highlighted by the Cryptoquant analysis, which pointed to the Coinbase Premium Gap standing at -$23.98 at press time.
This shift in market sentiment follows news that the U.S. Department of Justice had been granted permission to liquidate over $6 billion worth of Bitcoin. According to Maartunn, an on-chain and market analyst at Cryptoquant, approximately 36,400 Bitcoin has been transferred to exchanges from short-term holders, indicating that these coins are likely being sold at a loss, as reflected by the Spent Output Profit Ratio (SOPR) dropping below 1.
Bitcoin Futures Liquidation
At 7:19 AM EST, the price of Bitcoin stood at $92,671. Data revealed that in the past 24 hours, around $372.44 million in cryptocurrency derivative positions had been liquidated, with $264.50 million coming from long positions. Of this, approximately $63 million was tied to long Bitcoin (BTC) positions.
As Bitcoin faces ongoing volatility and downward pressure, market participants continue to navigate these fluctuations with caution, closely monitoring the developments in both global and regional markets.
Disclaimer: This article is for informational purposes only and does not constitute investment advice. Cryptocurrencies and stocks, particularly in micro-cap companies, are subject to significant volatility and risk. Please conduct thorough research before making any investment decisions.
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