Bitcoin has dropped below the $60,000 mark for the first time since 2024.
The battered bulls have endured a massive wave of liquidations across the cryptocurrency market.
This is also the first time that Bitcoin has plunged below its 200-week moving average since 2022, which underscores how severe and dramatic this sell-off is.
The relentless bloodbath
Over the past 24 hours, a staggering 314,519 traders were liquidated, according to the data provided by analytics firm CoinGlass. In total, nearly $1.6 billion in total liquidations have been recorded over the past 24 hours.
The vast majority of the pain was absorbed by retail bulls (nearly $1.29 billion)
During a four-hour window, the market logged $367 million in total liquidations.
Binance led the exchanges during this period with $144.04 million in liquidations (nearly 79% were long positions).
The largest single liquidation order also occurred on Binance (a Bitcoin trade valued at $13.31 million).
Funding turns
At the same time, retail bulls appear to have abandoned their dip-buying strategies.
The latest data shows that Bitcoin funding rates have now turned negative.
According to market observer Dom, the cascade of liquidations is beginning to diminish with each leg down.
Over-leveraged long positions are nearly wiped out, and this indicates that a relief rally might be in the offing.
Crypto munity
According to a recent report by CNBC, options traders are storming into bets against Michael Saylor’s Strategy (MSTR).
On Friday, more than twice as many puts traded versus calls for Strategy. Some of this heavy put-buying is linked to spread strategies used by the YieldMax Short MSTR Option Strategy ETF (WNTR), which has surged 30% since May 11.
The sell-off has been fueled by Strategy’s controversial decision to sell Bitcoin.
A $30,000 prediction
Schiff noted that Bitcoin has only experienced four negative calendar years. Last year saw a minor 6% drop. However, the average decline in the other three down years was a brutal 65%. Bitcoin is currently down about 30% this year. If 2026 follows the pattern of those major down years, the leading cryptocurrency will finish near the $30,000 mark, Schiff’s predictions.
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