Coingape - 2/22/2021 12:53:49 PM - GMT (+0 )
Bitcoin price registered a minor correction of 4% today reaching a 24-hour low of $53,998 after registering a new all-time-high above $58,000 yesterday. The price correction led to liquidations of $410 million worth of positions across all exchanges in the last hour alone. Out of these $410 million, nearly $238 million came from Binance alone.
The recent liquidation is an indication that the market is quite bullish on Bitcoin aided by institutional purchases and mainstream adoption. It is not just institutions who are quite bullish on Bitcoin, retail players are equally bullish especially after the recent Tesla $1.5 Billion bitcoin purchase. This is evident from the increased retail leverage.Can Bitcoin Top $60K?
Bitcoin’s current price correction did not come as a surprise to many and in many ways, it has become kind of a pattern in the past few weeks, where Bitcoin has corrected after registering a significant gain or all-time-high to consolidate its gains. The top cryptocurrency closed its first week above $50K and also managed to fill the CME gap which was once seen as a possible bearish indicator.
CME gap is done pic.twitter.com/wDMoAnoMGj
— BitBit.BTFD (@BitBitCrypto) February 22, 2021
The current volatility is also being attributed to the upcoming expiry of nearly 63.1K Bitcoin options contracts estimated to be worth nearly $3 billion on 26th Febraury. Genrally, the week leading upto the expiration of Bitcoin options contract registers slightly higher volatility than the normal, so once can expect the price to fluctuations upto 10%.
The expiertion of contracts as an event has a bullish impact on Bitcoin price as seen during the last expeiration when Tesla bought its $1.5 billion worth bitcoin. The top cryptocurrency has nearly doubled its price from the last month suggesting it has still fuel left to climb higher.
— skew (@skewdotcom) February 22, 2021
Bitcoin is expected to reach $100,000 by the end of this year based on many on-chain metrics and price predictions made by trade pundits. Having nearly trippled its price from 2017 high, the top cryptocurrency is expected to rise by 2X more before seeing any market pull backs.
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