The cryptocurrency market has experienced a massive wave of liquidations in the past 24 hours. The turbulence was exacerbated by Bitcoin’s recent price volatility, especially Bitcoin’s breakout above the $100,000 threshold, which triggered a chain reaction of forced liquidations of long and short positions. Bitcoin fell to $94,000, Ethereum to $3,465, Solana to $200, and most altcoins lost more than 30%

Bitcoin volatility has once again sent shockwaves through the cryptocurrency market, leading to as much as $1.72 billion in liquidations in just a few hours. This is the second time in a week that Bitcoin has experienced a flash crash, adding to the chaos in an already volatile market.

Especially for those over-leveraged positions, as consecutive liquidations further amplify the market's fragility.

In addition to the volatility of bitcoin, altcoins such as XRP and GALA have also suffered significant losses, with some currencies experiencing double-digit declines. According to data, the CoinDesk 20 index, which tracks the largest tokens by market cap, fell over 8%.

Despite the market chaos, some large investors are seizing the opportunity, with one accumulating 600 BTC during the price decline, worth $58.85 million. This opportunistic buying behavior highlights bitcoin's enduring appeal, even during periods of volatile correction. Major tokens such as Solana, Ethereum, and Dogecoin quickly rebounded after the drop, rising to $237, $3,780, and $0.42, respectively. The overall cryptocurrency market has shown significant resilience, with other currencies experiencing only slight declines alongside bitcoin's drop.

Although the cryptocurrency market has indeed experienced large-scale liquidations, this may represent a healthy correction after unprecedented growth. However, it also highlights the risks brought by high leverage trading and the urgent need for improvement in risk management in the cryptocurrency trading sector.

Microsoft's major decision tonight may impact the market

On December 10, U.S. time, Microsoft will hold a shareholder meeting to discuss the proposal to include bitcoin on the company’s balance sheet, which is about to be voted on. This decision is seen as one of the most talked-about events in the cryptocurrency market recently, as if Microsoft ultimately chooses to increase its bitcoin holdings, it will be another international giant following Tesla, MicroStrategy, and other tech and financial leaders to officially 'endorse' bitcoin, which will undoubtedly have a huge impact on market trends and mainstream perception.

According to documents submitted to the U.S. Securities and Exchange Commission (SEC), the proposal to 'evaluate investing in bitcoin' was put forward by the conservative think tank National Center for Public Policy Research (NCPPR). NCPPR argues that in an era of high inflation, companies should consider allocating part of their funds to bitcoin, as it could become the 'best value-preserving tool' against inflation. The organization recommends that Microsoft allocate at least 1% of its assets to bitcoin to help prevent the erosion of corporate funds due to currency devaluation.

However, the Microsoft board has clearly stated its opposition to the proposal, believing that the company’s asset allocation strategy should remain robust and predictable. The board emphasized that Microsoft's portfolio already includes various investment tools and defensive assets, and does not see the need to include the highly volatile and speculative bitcoin at this time. Meanwhile, Microsoft founder Bill Gates has publicly opposed bitcoin multiple times in the past, emphasizing its lack of intrinsic value, which echoes the conservative stance of the company’s senior management.

Although senior management does not support it, the bitcoin advocates behind the scenes have not given up. NCPPR advocates that as bitcoin has surpassed the $100,000 mark and received support from Trump and Musk, the crypto market is moving towards mainstream assets. If Microsoft joins at this time, it could not only create potential returns for shareholders but also boost confidence in the market.

In the supportive camp, the well-known crypto asset giant MicroStrategy is both a pioneer and an example, with a massive holding of 423,650 bitcoins, valued at approximately $40.97 billion, accounting for about 2% of the total bitcoin supply. MicroStrategy's long-term accumulation of bitcoin is seen as a model for companies integrating digital gold into their asset allocation. Meanwhile, some investment professionals and analysts are trying through various channels to persuade Microsoft's decision-makers, citing positive factors such as improvements in bitcoin regulation and global economic uncertainty, encouraging Microsoft shareholders to break away from traditional thinking.

Although exchanges and market observation indicators show that new funds and retail investors are expecting Microsoft to throw a 'shock bomb', Polymarket's betting odds estimate the probability of the proposal passing at only about 14%, suggesting that the market generally remains skeptical about Microsoft's ability to make a significant shift this time.

However, even if this proposal is rejected, it will not change the long-term trend of the cryptocurrency industry becoming increasingly mainstream. Regardless of Microsoft's attitude this time, as bitcoin's price and recognition continue to rise, more and more giant companies may reassess the positioning and value of digital assets in the future.

If this proposal miraculously passes, the market impact will be self-evident. According to MacroTrends data, Microsoft currently holds $78.4 billion in cash and short-term investments, which is sufficient to boost bitcoin prices and market heat in the short term. Crypto investors will closely watch this historic moment, and the choices of Microsoft shareholders and the board will become a key case for the interaction between digital assets and traditional enterprises in the next phase.

Regardless of the outcome, today's vote symbolizes that digital currencies are stepping deeper into the traditional corporate governance industry. Whether Microsoft ultimately embraces bitcoin will determine its future direction at this moment.

Currently, the market is watching two points: one is whether Microsoft's vote over the next few days can pass, and the other is that Amazon shareholders have also proposed a meeting to resolve whether to buy bitcoin. Both are significant increases; if one passes, then there’s more to see for bitcoin. If neither passes, the short-term profit-taking may gradually overshadow the buying pressure from the off-market. On-chain data shows that the demand for funds is diminishing, so let’s patiently wait for the outcome of the game.