Bitcoin under pressure: what's happening in the market? 💰📉
On December 9, the cryptocurrency market experienced a crash:
• $BTC fell from $100,200 to $97,500, reaching a low of $94,700.
• The total market capitalization decreased by 7%, amounting to $3.47 trillion.
Why did the market go down? 🤔
1. Selling pressure:
Long-term holders are taking profits. Their average purchase price is $24,500, which at current prices yields up to 400% profit. 💵
2. Macroeconomics:
The market is influenced by expectations of inflation data in the USA (December 11) and a possible reduction in Federal Reserve rates #FederalReserve .
🚨 Traders lost $1.7 billion in one day
The sharp decline in prices led to the liquidation of over 565,000 margin positions. This occurred due to insufficient collateral for leveraged trades.
What is #MicroStrategy doing? 📊
Despite the decline, the company continued to buy Bitcoin:
• New purchase: 21,550 BTC for $2.1 billion.
• Total balance: 423,650 BTC (average price $60,324).
The company actively uses borrowed funds to increase its cryptocurrency holdings, remaining the largest corporate holder.
Role #ETF 🏦
Since the beginning of November, Bitcoin-based exchange-traded funds have attracted $10 billion. The total assets under their management now exceed $107 billion, maintaining interest in crypto assets.
What's next? 🌟
Analysts maintain medium-term optimism:
• Capital inflow through ETFs and the resilience of the US economy strengthen the long-term outlook.
• However, pressure from long-term holders continues to restrain growth.
📌 The cryptocurrency market remains volatile, but fundamental factors indicate its prospects.
