Bitcoin loses $2.3B in biggest crash since 2021 as capitulation intensifies: Analyst

💡 DMK Insight

Bitcoin’s record realized losses signal a major capitulation, and here’s why that matters: When short-term holders start selling at significant losses, it often indicates a market bottom or at least a temporary panic. This could lead to increased volatility in Bitcoin and potentially drag down altcoins like Solana, currently at $80.03. Traders should keep an eye on the correlation between Bitcoin’s price movements and altcoins, especially during these capitulation phases. If Bitcoin stabilizes, we might see a rebound in altcoins, but if it continues to decline, expect Solana to face downward pressure as well. Look for key support levels in Bitcoin around recent lows, as a failure to hold these could trigger further selling. On the flip side, if Bitcoin manages to reclaim certain resistance levels, it could signal a shift in sentiment. Watch for Bitcoin’s price action closely over the next few days; it could dictate the direction of the broader crypto market.