This week, Bitcoin showed a pattern of rising then falling, oscillating around the $96,500 level before the weekend. The Trading View error triggered a black swan event, showing Bitcoin's dominance plummeting to 0%, leading to a massive liquidation of long positions.
Trading View's Bitcoin dominance "error" plummets to 0%
Cryptocurrency community users report that Trading View's Bitcoin dominance chart has anomalies, with Bitcoin dropping to $95,000. The error indicates that Bitcoin's share of the total cryptocurrency market capitalization has fallen to 0%. It is claimed that this error is behind the subconscious trading reactions, which have now been corrected.
"This error incorrectly displayed Bitcoin's dominance as 0%, causing panic among traders, followed by market turbulence. This led to mass liquidations, with about $33 million in Bitcoin longs being liquidated within a few hours," he added.
He stated: "An untimely fault also appeared on Trading View, causing Bitcoin's dominance indicator to drop to 0%, which may have triggered additional capital outflows. Therefore, the panic selling caused by the low liquidity environment due to technical errors, combined with strategic profit-taking after a relatively positive year, and significant institutional changes with $338 million in Bitcoin ETF outflows on Christmas Eve, are likely to be the catalysts for Bitcoin's price decline in the past 24 hours."
Bitcoin continues to fluctuate; on the surface, the market seems calm, but in reality, it is brewing, with the strength of bulls and bears in the fluctuation range. Do you understand it?
Market rises or falls do not depend on a single force, but rather the result of the interplay of multiple factors.
Just like the current daily chart of Ethereum.
After experiencing three days of decline, everyone is in a panic. The market has been fluctuating these past few days, and many are worried about a continued drop after the fluctuations.
The only reason to believe there will be further declines is simply because of previous drops, a simplistic and crude reasoning that does not necessarily mean it is correct.
Recent market observation: The first wave of decline was accompanied by increased volume, followed by two additional declines during the fluctuations, with each decline showing gradually decreasing volume, indicating a weakening downward trend.
After the first wave of decline, a 'hammer' candle with increased volume appeared, indicating that the bulls are starting to make a move.
After the hammer candle, the market did not create new lows, with the lows gradually rising, indicating the weakness of the bears.
Ali revealed on Twitter that trading activity in the crypto market has been active recently, with large investors purchasing over 90 million Dogecoins in just two days, highlighting the growing interest of major participants in the crypto space, especially in Dogecoin.
It has been observed that Dogecoin's trading activity shows a positive trend on the four-hour TD Sequential indicator, suggesting that its price is expected to rise.
Currently, Dogecoin's price hovers around $0.31, having slightly dropped 2% in the past 24 hours.
From the recent trading patterns, a green candle with an arrow has appeared, which may be a potential signal of value growth. This key detail has attracted high market attention, with many eyes focused on the next price direction of Dogecoin.
The current price chart trend indicates that once Dogecoin successfully breaks through these key levels, its subsequent price movement is likely to replay the historic bull market, providing rich returns for investors.