While we hoped that the end of the year would bring some calm to the crypto-asset market, a completely different scenario unfolded. In just 24 hours, more than $1 billion was liquidated, demonstrating investors' unpreparedness for volatility. A look back at the facts, between massive liquidations and prospects of a potential “Santa rally”.
A story of liquidations: $1 billion gone
The day of December 19 marked a sudden turning point, with 1.02 billion dollars liquidated, including 856.7 million in long positions. Among the victims, bitcoin (BTC), which collapsed with a drop of 3.36%, broke the symbolic threshold of $100,000 to reach $97,350.
This wave of liquidations did not spare the market as a wholealready weakened by a fall of 5.47% on December 5 and record losses of 1.7 billion on December 10.
The numbers speak for themselves:
- 24 hours, $1.02 billion liquidated;
- 856.7 million long positions crushed;
- Bitcoin price below 100,000 psychological dollars.
Fred Krueger, bitcoin maximalist, doesn’t beat around the bush: “ Bitcoin is the best trading opportunity you are likely to see. There's only one way to miss it: leverage. »
A lull in sight for crypto-assets?
Despite this turbulent context, some analysts want to believe a rapid recovery. Pav Hundal, senior analyst at Swyftx, sees this chaos as temporary anxiety, predicting a rebound with the highly anticipated “Santa rally”.
For his part, Caleb Franzen recalls that past bull runs have often been punctuated similar corrections, followed by new highs. “ Hold on tight », he advises.
At the same time, eyes are turning towards 2025 and the possible repercussions of the arrival of Donald Trump at the White House. With speculation arounda strategic reserve of bitcoins for the United States, the market could be shaken by increased volatility as this deadline approaches.
The massive liquidations, although frightening, are a reminder of their catalytic role. In November, they even pushed bitcoin to $97,000, proof that this turbulence is only a step in the march towards new heights.
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