BTC has fallen from the all time high level of $126K and is now at $88K. This is such a crash or correction which has confused investors. There was also a crash where it fell 8-9% in just a few minutes.
The market overall has shrunk a lot and has caused losses to many investors.
Currently a few hours ago BTC crashed more than 3% and around $700M amount was liquidated. Those who had taken long positions all of them got liquidated.
According to some sources this liquidation is around $1B when BTC dropped to $86K. Now there is some recovery but 4 red candles have formed which makes the pattern weak.
What could be the reason for this crash? A macroeconomic trigger happened. According to some sources interest rate may not be cut but slightly go up. This has spread fear and worry among investors.
Investors are thinking that the market is recovering and it will touch $100K very soon. That is why high leverage was used and when margin calls forced liquidation this crash became even faster.
In your opinion what could be the reason for this crash? Is this a downtrend or could it be a market correction? Will be glad to see your answers in the comment section.
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