Jerome Powell

Chair

Shiba Inu

Reserve

<p>Bitcoin has soared to a new <a href="https://coinmarketcap.com/currencies/bitcoin/">all-time high of $82,371</a>, pushing its market cap past $1.62 trillion! With a massive 20% jump in just 7 days, the crypto market is buzzing. But hold on experts are now predicting a possible crash ahead. In just one hour, $123 million worth of positions were wiped out, causing Bitcoin (BTC), Ethereum (ETH), and Solana (SOL) to drop sharply. Even meme coins like Dogecoin (DOGE) and Shiba Inu (SHIB) lost 6%. What caused this sudden dip, and is the market in for more trouble?&nbsp;</p>   
<h2 class="wp-block-heading" id="h-why-did-the-market-drop-so-fast">Why Did the Market Drop So Fast?</h2>   
<p>One of the main reasons for this sudden selloff was massive liquidations in the market. According to <a href="https://www.coinglass.com/LiquidationData">data from Coinglass</a>, around $123 million in positions were liquidated in just four hours, and an eye-watering $621 million in total was wiped out in the last 24 hours.&nbsp;</p>   
<p>This included $74 million from long positions and $16 million from short positions, triggering a massive selloff across the market.&nbsp;</p>   
<p>Howeer, a total of over 217,000 traders were liquidated, with the largest liquidation happening on the OKX exchange, where a trade worth $15.56 million was closed.&nbsp;</p>   
<p>One major signal is the sharp drop in Bitcoin's implied volatility, especially for Bitcoin At-the-Money (ATM) options. This suggests that options traders aren’t expecting Bitcoin to continue its price surge in the immediate future.</p>   
<h2 class="wp-block-heading" id="h-is-a-bigger-crash-coming">Is a Bigger Crash Coming?</h2>   
<p>Apart from this, there several macroeconomic factors are adding pressure on the crypto market. China’s recent stimulus package, worth 10 trillion yuan, has disappointed investors, causing a shift in market sentiment.&nbsp;</p>   
<p>In addition, upcoming U.S. economic events like the CPI and PPI inflation data, jobless claims, and a speech from Federal Reserve Chair Jerome Powell are raising concerns about the broader economic outlook.</p>   
<h2 class="wp-block-heading" id="h-yet-bitcoin-eye-for-125k">Yet Bitcoin EYE For $125K</h2>   
<p>Despite the short-term struggles, some analysts remain hopeful for Bitcoin’s future. Trader Peter Brandt has predicted that Bitcoin could reach $125,000 by the end of the year, and even as high as $300,000 in the long term.&nbsp;</p>

Crypto Market in Trouble: Why Bitcoin, Ethereum, and Other Coins Are Dropping

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