30s Summary

The crypto market has unexpectedly lost over $1 billion in the last 24 hours, causing alarm for investors. Despite Bitcoin’s value falling below $100,000, causing significant loss of long positions, experts view this as a short-term occurrence. The market is anticipating the incoming Trump administration’s plans for a US Bitcoin strategic reserve, which is likely to impact the market and cause further fluctuations. However, many analysts remain hopeful for a recovery and potential buying opportunities.

Full Article

In the last 24 hours, the crypto market has lost over $1 billion. Despite a strong month for crypto investments, current market conditions have seemed to catch everyone by surprise.

Experts say this downturn is probably just temporary. According to Pav Hundal, a top analyst at Swyftx, “We’ve had such a positive vibe about crypto this last month, nobody was expecting any bad news. Now we’re seeing a lot of people selling.”

But don’t panic just yet. Hundal doesn’t think this is cause for concern. He believes it’s just a short-term worry, not the downturn we were all hoping to avoid at Christmas.

On Dec. 19, about $1.02 billion was withdrawn from the crypto market within 24 hours, with around $856.66 million of that being long positions, based on CoinGlass data.

At the same time, the value of Bitcoin ducked below the $100,000 mark, dropping by 3.36%. At the time of writing, Bitcoin is trading at $97,350.

This isn’t the first time this month that Bitcoin’s fall below $100,000 resulted in a noticeable loss of long positions.

Earlier this month, a sudden drop in Bitcoin’s price below $93,000 resulted in a $300 million loss within just a few minutes. More recently, a sudden drop in the crypto market on Dec. 10 wiped out more than $1.7 billion in leveraged positions over a 24-hour period.

CoinGlass claims this was the biggest long liquidation so far in this cycle.

Fred Krueger, a well-known Bitcoin enthusiast, stated in a Dec. 19 post that the only way to make a real mess of trading Bitcoin is by using leverage.

Still, Hundal remains hopeful for a “Santa rally”, something that the market has been expecting, while Jamie Coutts, chief crypto analyst at Real Vision, thinks a buying opportunity could be on the way.

Caleb Franzen, a crypto analyst, isn’t worried about the market’s volatility. He refers to it as typical for a bull run. He noted that there were nine pullbacks in Bitcoin during the last bull run over 16 months, which all led to higher peaks. He added: “Buckle up, buttercup.”

Hundal further anticipates that the crypto market will start to adjust its expectations based on the upcoming Trump administration.

Fans of the crypto market are keenly waiting for Trump’s plans for a US Bitcoin strategic reserve. The new administration’s decisions and direction are bound to impact the market and cause some fluctuations. Hundal concluded, “One side of the market is going to be on the wrong side of that bet, so I’d expect to see some volatility when the new administration comes in and the direction becomes a little clearer.”