Updated: Bitcoin Price Correction Leads to Over $1 Billion in Liquidation Across Exchanges

Bitcoin price registered a significant correction of 8% today reaching a 24-hour low of $53,998 after registering a new all-time-high above $58,000 yesterday. The price correction led to liquidations of $1.47 billion worth of leveraged positions across all exchanges in the last hour alone. Out of these $1.47 billion, nearly $354 million worth of positions were liquidated in the past hour.

The recent liquidation is an indication that the market is quite bullish on Bitcoin aided by institutional purchases and mainstream adoption. It is not just institutions who are quite bullish on Bitcoin, retail players are equally bullish especially after the recent Tesla $1.5 Billion bitcoin purchase. This is evident from the increased retail leverage.

Can Bitcoin Top $60K?

Bitcoin’s current price correction did not come as a surprise to many and in many ways, it has become kind of a pattern in the past few weeks, where Bitcoin has corrected after registering a significant gain or all-time-high to consolidate its gains. The top cryptocurrency closed its first week above $50K and also managed to fill the CME gap which was once seen as a possible bearish indicator.

CME gap is done pic.twitter.com/wDMoAnoMGj

— BitBit.BTFD (@BitBitCrypto) February 22, 2021

The current volatility is also being attributed to the upcoming expiry of nearly 63.1K Bitcoin options contracts estimated to be worth nearly $3 billion on 26th generally Generally, the week leading upto the expiration action of Bitcoin options contract registers slightly higher volatility than the noone, so once can expect the price to fluctuations upto 1expirationxpiertion of contracts as an event has a bullish impact on Bitcoin price as seen during expiration when Tesla bought its $1.5 billion on the worth of bitcoin. The top cryptocurrency has nearly doubled its price from the last month suggesting it has still fuel left to climb higher.

63.1k #bitcoin options expiring this friday. 56k strike is open in $160mln notional. Largest strike is 48k with 4.4k options open. pic.twitter.com/RMJE7zATFL

— skew (@skewdotcom) February 22, 2021

Bitcoin is expected to reach $100,000 by the end of this year based on many on-chain metrics and price predict ns made by trade pundits. Having tripled its price from 2017 high, the top cryptocurrency is expected to rise by 2X more before seeing any major pullback.