Yesterday, Bitcoin saw price levels of over $29,000 and as low as $27,300, but CryptoSlate believes this is due to an illiquid market.
Bitcoin liquidity has dropped considerably in 2022 and has only gotten more illiquid into 2023, meaning price action for Bitcoin can move in either direction quickly.
Due to the illiquid market, futures open interest dictates the price action. The total funds allocated in open futures contracts is roughly 350k, heading towards year-to-date lows.
We can see notable spot price action when Bitcoin reached $27,000.
For the short-term, most definitely, we expect the volatility to continue in Bitcoin.
As a result, in the past 24 hours, we have seen over $350 million in liquidations, both short and long-term.
Market Depth: (Source: Kaiko)BTC: (Source: Trading View)
The post Assessing Bitcoins price action over the last 12 hours appeared first on CryptoSlate.