Roughly $80 billion exited the cryptocurrency market during Tuesday’s morning crash, according to data. Bitcoin’s Monday rally to $65,600 reversed sharply, sending the asset to a ten-day low of $63,000. The downturn triggered over $700 million in liquidations across more than 165,000 over-leveraged traders. Altcoins including Ethereum, XRP, Solana, and Hype also suffered losses. A popular analyst warned that Bitcoin must hold the $63,000 support level or risk sliding to new local lows. The sell-off comes one day before the U.S. Federal Reserve’s interest rate decision, adding uncertainty to risk-on assets.
Bitcoin’s Monday rally that drove it to $65,600 on multiple occasions has reversed sharply, erasing all gains and sending the asset to a ten-day low of $63,000. The move south has pulled most altcoins down with it, pushing daily liquidations to approximately $700 million.
The second rejection at $65,600 was particularly violent, knocking Bitcoin down by nearly $3,000 in a matter of hours. Popular analyst CRYPTOWZRD weighed in on the decline, indicating that the largest digital asset had closed bearish. They stressed that it is essential for Bitcoin to remain above the currently tested support at $63,000; otherwise, it could slump to new local lows.
Ethereum, which was yesterday’s top gainer after reaching a two-month peak of $1,980, has lost $100 and now sits below $1,900. XRP has dumped 4.5% to $1.06, slipping below the key $1.10 support level. Solana is down by a similar percentage, while Hype has plummeted 6%.
The broad market move has harmed over-leveraged traders, with more than 165,000 such participants liquidated in the past 24 hours. The total value of liquidated positions has risen to almost $700 million on a daily scale, with Bitcoin and Ethereum leading the pack. This morning’s crash comes just one day before the U.S. Federal Reserve is scheduled to announce its interest rate decision, and uncertainty around a potential hike has weighed on risk-on assets like cryptocurrency.
