Live updates: BitMine announces ether buying limit, ether, bitcoin slide
Cryptocurrency markets saw a decline as leveraged positions were liquidated, with Bitcoin falling below $84,000 and Ether dropping nearly 4%. Broader market sentiment is also pressured by rising oil prices due to tensions in the Strait of Hormuz and anticipation of hawkish Federal Reserve minutes.
Why it matters
The intersection of geopolitical instability and monetary policy is currently driving volatility across both crypto and traditional financial markets.
Those were liquidations, positions an exchange closes automatically when a trader using borrowed money can no longer cover the losses. Most of them hit longs, or traders betting on higher prices.
Ether dropped nearly 4% to about $2,590, XRP lost about 4% and SOL fell more than 3%.
Dan Khus, chief analyst at LVRG Research, told Bloomberg the drop looks like "a leverage flush instead of a downward trend."
The slide takes bitcoin under the $84,000 level that FxPro flagged on Tuesday as the point where sellers take control. The recent low near $83,000 is the next test.
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