Shocking drop! The reason why Bitcoin plunged to $58,000 has been found. What happened?

Last night, both Bitcoin and Ethereum experienced a big drop. Bitcoin fell by more than 7% at one point, and Ethereum fell by more than 10%. The market was in a mess. 85,678 people were liquidated in 24 hours, with losses of up to $315 million!

What happened?

Although funds flowed into US exchanges, the price of Bitcoin still fell. The market is worried that the US government may sell the seized tokens, but other than that, there is no major negative news.

In terms of liquidity, although the Federal Reserve hinted at a rate cut, there have been some changes in the money market. The scale of overnight reverse repurchases has increased and the SOFR rate has also rebounded.