The recent more than 7% decrease in the price of Bitcoin in the past 24 hours resulted in a loss of $256 million for investors who held long positions in the futures market. Despite heightened geopolitical tensions in the Middle East, experts believe this decline is not unusual. Benjamin Cowan mentioned on platform X that similar drops, including 20% declines, have occurred in previous cycles.

Futures Market Turmoil

MicroStrategy CEO Michael Saylor shared on platform X that chaos like this is beneficial for Bitcoin. Crypto expert Rekt Capital is confident that Bitcoin's price will maintain its upward trajectory. He noted that Bitcoin may experience a substantial pullback that might make investors question the continuation of the bull market.

Bitcoin's price found stability around $62,060 after dropping to $60,919 on April 13. At the time of reporting, Bitcoin's price stood at $63,858. The sudden price decline triggered a total liquidation of $319.15 million in Bitcoin futures positions within 24 hours. Long positions contributed $256.58 million to this figure, while short positions added $62.58 million. Investors are bracing for further downturns. If Bitcoin manages to return to its $67,000 recent level, approximately $1.05 billion in short positions could be at risk of liquidation.

Insights on Bitcoin

In the last 24 hours, the entire cryptocurrency market experienced significant sell-offs, leading to the liquidation of $945.9 million from 253,554 investors. The fear and greed index, a crucial indicator of market sentiment, currently sits at a greed level of 72, slightly lower than last week's high score of 78.

The global crypto market cap also dropped by 8% to $2.23 trillion. Data from crypto analytics firm CryptoQuant revealed that demand from long-term Bitcoin holders surpassed the market supply of new Bitcoin for the first time. This noteworthy data suggests that the supply of newly mined Bitcoin may not meet the demands of crypto investors, potentially causing an increase in scarcity following Bitcoin's upcoming halving event.