Bitcoin Falls Below $66,000 – Wipes Out $500 Million In Crypto Bets Amid Oil Surge, Hormuz Tensions

• Bitcoin accounted for nearly half of the overall liquidations with $221 in crypto bets wiped out in the last 24 hours. 
• Bitcoin is also on track to track for a six month slump, last seen during the 2018-19 crypto winter.
• The decline came alongside elevated oil prices, with Brent crude holding above $100 after disruptions in the Strait of Hormuz heightened concerns about global energy supply. 

Bitcoin (BTC) fell below $66,000 on Friday morning and triggered more than $500 million in liquidations across the cryptocurrency market

According CoinGlass data, more than $469 million came from long positions that were forced to unwind. Bitcoin accounted for nearly half of the overall liquidations with $221 in crypto bets wiped out, followed by Ethereum (ETH), which saw $140 million go underwater.

Bitcoin Dumps To Under $66,000

Bitcoin’s price fell over 5% in the last 24 hours to around $65,700. Retail sentiment around the apex cryptocurrency on Stocktwits fell to ‘extremely bearish’ from ‘bearish’ territory over the past day. Chatter stayed at ‘low’ levels.

The cryptocurrency has now fallen almost 6% over the past week and its month returns have edged into red territory. Bitcoin is on-track to hit a rare six-month losing streak, last seen during the crypto winter of 2018 and 2019. It remains more than 45% below its record high of over $126,000 seen in October. 

Ethereum’s price fell 4.8% in the last 24 hours, falling below the $2,000 support level to around $1,970. Retail sentiment around the leading altcoin also trended in ‘bearish’ territory over the past day with chatter at ‘normal’ levels. 

Why Is Bitcoin Falling?

The decline came alongside elevated oil prices, with Brent crude holding above $100 after disruptions in the Strait of Hormuz heightened concerns about global energy supply. President Donald Trump’s latest remarks did little to improve risk appetite, leaving traders cautious.

Brent crude oil prices rose over 2% to above $103 per barrel, while U.S. West Texas Intermediate crude oil prices us gained more than 4% to above $96 a barrel. The United Stated Oil Fund (USO) rose 4.35% in morning trade to around $122. Retail sentiment around the fund trended in ‘bearish’ territory over the past day with chatter at ‘normal’ levels. 

Many users on Stockwits forecast that Bitcoin’s price is likely to fall to at least $50,000, with some citing technicals while others blamed the U.S.-Iran war.

“Bitcoin and US equities are selling off as oil and gold rally heading into the weekend,” X crypto analyst Satoshi Stacker wrote in a post. “Be prepared for further headline volatility as we approach the weekly tradfi close later today.”

Read also: Bitcoin’s March Gains Just Flipped Red After Dip Below $67,000 – On Track For Rare Six-Month Losing Streak

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