Market data showed Bitcoin’s price dropped sharply to near $94,000 during Wall Street’s first session of the week. This movement filled a predicted “market inefficiency” from earlier in December. Analysts noted that Coinbase traders aggressively sold Bitcoin, fueling the downward momentum.
According to CoinGlass, Bitcoin accounted for $142 million of the liquidations, while Ether traders suffered even greater losses, with $208 million liquidated. Altcoins also faced significant selling pressure, with tokens like XRP coming under scrutiny for sharp declines.
Some traders viewed the event as a healthy market reset. Leverage positions were wiped out, and altcoins began flipping key resistance levels into support. “This could stabilize the market,” noted trader Jelle on X.
Despite the optimism, the abrupt nature of the sell-off raised questions. “This was highly unusual for such a mature market,” said Ltrd, highlighting the large-scale sell orders that caused over a 5% drop in market value.
As the dust settles, the crypto community remains divided. While some lament the heavy losses, others hope this marks the beginning of a more stable trading environment.