Pakinomist – The cryptocurrency market, and in particular the price of digital assets, remains a wild goose chase. For example, after massive price swings in the last 24 hours, total liquidations in the perpetual futures segment reached $1.24 billion, one of the largest this year.
Naturally, the main focus was on (BTC) as the leading cryptocurrency. The price action in BTC, which took a rollercoaster ride from as high as $106,500 to as low as $99,651, caused the most pain for traders, with $261 million in margin positions, according to CoinGlass.
The bulk of this, of course, was on the long side – $161 million, with another $100 million “donated” by bears who had failed in their investment decisions.
However, fast forward to 12 hours later and the price of the leading cryptocurrency was already above previous highs. More importantly, according to data from Binance, it reached an all-time high of $109,588.
Given the chain of events that took place over the past weekend, it was highly doubtful that Bitcoin would renew its all-time high. But here we are.
What happens next remains a mystery. There are too many questions and few or no answers. First of all, does the fact that BTC has renewed its all-time high change the bearish narrative that has driven the cryptocurrency price the most this month?
The conventional wisdom is that when market liquidations reach $1 billion territory, it usually means a reset and a fresh start. But as everything takes on a new, more sophisticated form, it may also be necessary to change views and interpretations of such brands.
