Bitcoin’s (BTC) breakneck rally Wednesday, with price plummeting 7% from a $64,000 high, turning into a bloodbath for leverage traders.
BTC rapidly surged earlier during the day, surpassing the $60,000 level for the first time since Nov. 2021. After hitting a high of $64,037, it abruptly fell to $59,400, CoinDesk data shows. At press time, it bounced back over $61,000, still up 7% over the past 24 hours.
Major cryptocurrencies such as Solana’s SOL, Chainlink’s LINK, and Avalanche’s AVAX also dropped nearly 3%-5% over the past hour.
The sudden drop in prices caused a total of over $600 million in liquidations for all digital assets, flushing out leveraged trading positions, CoinGlass data shows.
Meanwhile, amid the digital assets market’s roller coaster, some Coinbase users were surprised to see zero balances in their exchange accounts. The company has since confirmed the incident and is investigating the matter.
