Bitcoin plunges! 250,000 people are liquidated!

The cryptocurrency market is experiencing a huge shock! On April 14, Bitcoin once plunged more than $7,000 to below $60,000 per coin, falling more than 5% in the day, and more than 250,000 people were liquidated.

What is going on? What is the main reason for the Bitcoin plunge? What does this teach us investors?

1. The cryptocurrency market is in a huge shock, and Bitcoin has plunged!

Affected by geopolitical tensions, the "cryptocurrency market" has suffered another huge shock. Bitcoin once plunged more than $7,000 to below $60,000 per coin, and now it has rebounded to $64,109.8 per coin, falling more than 5% in the day.

The sharp drop in Bitcoin has dragged down other cryptocurrencies. According to CoinGlass data, in the past 24 hours, a total of 253,600 people in the virtual currency market have been liquidated, with a total amount of $951 million (about 6.883 billion yuan).

2. What is the reason for the plunge in Bitcoin?

First, geopolitical tensions: The conflict in the Middle East has suddenly escalated. Geopolitical tensions often increase market uncertainty, causing market funds to seek safe havens, thereby reducing investment in high-risk assets such as cryptocurrencies;

Second, high leverage liquidation: You may not know that there are many traders using high leverage in the cryptocurrency market such as Bitcoin. Market fluctuations will cause a large number of leveraged traders to be forced to close their positions, exacerbating price declines;

Third, profit-taking: After reaching a certain high point, the price of Bitcoin will experience a technical correction, especially when the market is overbought. Bitcoin prices have been soaring this year, so it is expected that they will fall and digest it!

3. What enlightenment does this give us ordinary investors?

First, invest cautiously: Our investors should fully realize the high risk of cryptocurrency investment and take appropriate risk management measures, such as setting stop-loss points, avoiding excessive leverage, and diversifying investments;

Second, careful research: Before investing, our investors should conduct in-depth research on market dynamics, technological development, regulatory policies and other factors to better understand market trends and potential risks;

Third, do not invest with leverage: High leverage transactions may magnify gains, but they will also magnify losses. We investors should use leverage with caution and ensure that we can withstand possible losses!

I hope this helps you.

Welcome to comment and exchange in the message area #etf $BTC $ETH #比特币减半 #香港比特币现货etf