You have already noticed that Bitcoin showed another nice dump. Reached a new low at $ 8500. Currently he has returned a few hundred, but the current week can still be described as the biggest weekly slump this year.
We are currently only in the correction phase and it should be added that this correction is particularly fast. On the daily chart you can see three tall red candles in a row, confirming the reversal of the daily trend (reversed three white soldiers formation).
What caused this slump? Well… I keep say that this is a healthy market reaction to the previous uptrend. So far nothing special is happening.
Liquidation of longs accelerates the fall
Bitcoin dumps. Erased nearly $ 1,500 in three days. What caused it? The lion’s share of how fast we are falling now is due to the liquidation of long positions – mostly on BitMEX. $ 150 million long positions were liquidated on BitMEX. That really waved with the market. But today we are still holding. Perhaps now there could be a smaller retracement of this slump.