In a significant market shift, Bitcoin's recent rise above the $44,000 mark led to approximately $100 million in short liquidations on centralized exchanges within a 24-hour period. This development is part of a larger trend since the start of December, where exchanges have recorded over $260 million in Bitcoin short liquidations.
The Bitcoin market experienced notable volatility, with its price fluctuating around $44,000. This resulted in the elimination of around $122 million in Bitcoin positions, of which $96 million were short positions. This liquidation signifies a notable impact on traders betting against Bitcoin's price rise.
Analysts from Bitfinex remain optimistic about Bitcoin's future, particularly in 2024. They cite two major factors potentially fueling the recent rally: the upcoming Bitcoin halving in April 2024 and the potential approval of a spot Bitcoin ETF. According to Bitfinex analysts, "While some market participants are eyeing $100,000 and some hoping for higher, we believe the bitcoin price will reach between $60,000 and $75,000 by the end of next year. This should be an easily attainable range considering the bottom of the trading range this year was formed around $16,000"
Disclaimer: Please note that the information provided in this article is based on the referenced research articles. It is essential to conduct further research and analysis before making any investment decisions. The cryptocurrency market is highly volatile, and investors should exercise caution and consult with financial professionals before engaging in cryptocurrency trading or investment activities.
