Bitcoin News Alert: Altcoins Spark $751M Liquidations as BTC Plunges to July Low
The crypto market is reeling as Bitcoin hits its lowest level since July 10, with altcoins driving a massive $751 million in liquidations. What’s behind this sharp downturn, and what does it mean for traders? Let’s dive into the latest Bitcoin news and uncover the key factors at play.
Bitcoin News: Market Turmoil as BTC Dips Below $115,000
Bitcoin’s price retreated to $115,000, marking a 7% drop from its July peak of $123,000. This decline follows a brief rally in early July, where BTC surged from $110,000 to $118,000 in under 24 hours. The current pullback reflects broader market instability, with intraday fluctuations signaling weakening buyer interest.
Altcoins Trigger $751M Liquidations: A Domino Effect
The recent correction was exacerbated by over-leveraged positions in perpetual contracts. Key data points:
- $705 million in long positions liquidated in 24 hours.
- Binance and Bybit accounted for over two-thirds of total liquidations.
- Ethereum, Solana, and XRP each fell over 6%.
FOMC Impact: How Inflation Guidance Shook the Crypto Market
Traders attributed the stall to profit-taking and cautious positioning ahead of the FOMC’s inflation guidance, which maintained rates at 4.4%. This cautious sentiment contributed to the rapid unwinding of leveraged positions.
What’s Next for Bitcoin and Altcoins?
Despite the sell-off, Bitcoin remains 8% up since July. Key levels to watch:
| Support Level | Potential Outcome |
|---|---|
| $113,500–$114,000 | Retest of early July consolidation near $110,000 |
| $100,000 | June consolidation range |
Conclusion: Navigating the Crypto Storm
While short-term sentiment is rattled, Bitcoin’s longer-term bullish structure remains intact. Traders should monitor on-chain metrics and market sentiment for actionable insights.
Frequently Asked Questions (FAQs)
- What caused the $751M liquidations?
The liquidations were driven by over-leveraged positions and a sharp altcoin sell-off. - How did the FOMC impact Bitcoin?
The FOMC’s inflation guidance led to cautious trading and profit-taking. - Is Bitcoin still bullish long-term?
Yes, despite the drop, BTC remains above key support levels. - Which altcoins were hit hardest?
Ethereum, Solana, and XRP all fell over 6%.
