According to Cointelegraph, a crypto analyst has issued a warning about the high likelihood of a 'flash crash' following significant gains in the broader crypto market over the past month. Michael van de Poppe, founder of MN Capital and a crypto analyst, highlighted in a Nov. 3 post on X that corrections are inevitable, and a flash crash could lead to a massive liquidation across altcoins. He advised investors not to panic but to view such events as opportunities to enter the market, describing them as a 'blessing.'
In the last 24 hours, the crypto market saw liquidations totaling $618.69 million, as reported by CoinGlass. This surge in liquidations was partly triggered by South Korean President Yoon Suk-yeol's brief declaration of martial law, which was quickly reversed. Among the liquidated positions, $85.77 million were in Bitcoin (BTC) and $61.50 million in Ether (ETH). Despite the initial price dive following the emergency declaration, cryptocurrencies like Bitcoin, Ether, and XRP have managed to recover some losses, with gains of 2.4%, 3.3%, and 9.2%, respectively, according to CoinMarketCap. At the time of publication, Bitcoin is trading at $96,700.
The recent developments come on the heels of a report by 10x Research on Dec. 3, which noted a surge in retail trading volumes for crypto assets in South Korea, reaching $18 billion in the last 24 hours and surpassing the country's stock market by 22%. Meanwhile, Bitcoin whales are reportedly holding their positions as Bitcoin's price continues to fluctuate just below the $100,000 mark. Onat Tütüncüler, a contributor to CryptoQuant, noted in a Nov. 2 analyst note that while there is no immediate selling pressure, the increasing inflow of Bitcoin into exchanges poses a potential risk for future sell-offs. Readers are reminded that this article does not offer investment advice, and all trading decisions should be made based on individual research and risk assessment.
