Bitcoin’s Rollercoaster Ride: Dips, Liquidations, and Big Moves

Bitcoin's recent plunge of over $5,000 has sent shockwaves through the market, triggering massive liquidations worth $1.5 billion and wiping out 514,000 traders, mostly from long positions. Ethereum bore the brunt of the losses with $204.7 million liquidated, while Bitcoin saw $163.4 million in losses. As panic selling gripped altcoins like XRP (-15%), DOGE (-8%), and SOL (-6%), the overall crypto market cap shrank by 7.5%. Despite the turbulence, some traders remain optimistic, viewing the decline as an opportunity for future stability.

Interestingly, while retail traders faced steep losses, institutional investors seemed undeterred. Michael Saylor's MicroStrategy added 21,550 Bitcoin at an average price of $98,783, spending $2.1 billion in just six days. Simultaneously, $3.85 billion flowed into crypto investment products last week, the highest recorded. With institutions pouring money into the market, the total assets under management soared past $165 billion, signaling a robust institutional appetite even amidst market volatility.