The cryptocurrency market experienced a significant downturn, with prices falling sharply across the board.
On March 17, the crypto market saw a collective "dive," ending days of bullish momentum. Bitcoin briefly dropped below $65,000 per coin and has remained near that level since. As of 5 PM, Bitcoin was trading at $66,400, marking a 3.31% decline over 24 hours and a 4.38% drop over the past week.
Top Cryptocurrencies Show Widespread Declines
All top 20 cryptocurrencies by market cap recorded losses in the past 24 hours:
- Ethereum (ETH): $3,575.05 (down 4.16% daily, 9.93% weekly)
- Binance Coin (BNB): $575.08 (down 6.45% daily but up 10.71% weekly)
👉 Why are crypto prices crashing? Experts weigh in
Liquidation Waves Hit Traders
The price drop triggered massive liquidations:
- Total liquidations: $645 million
- Affected traders: 196,400
Crypto liquidation occurs when positions are forcibly closed due to insufficient margin or extreme losses. This process often exacerbates market volatility.
Market Drivers: JPMorgan Warns of Post-Halving Risks
Key factors influencing the downturn:
- JPMorgan report highlights potential post-halving miner profitability issues
- Predicts possible Bitcoin price correction to $42,000
- Spot BTC ETFs continue attracting institutional investment ($12.16B inflows year-to-date)
Bitcoin ETF Market Defies Volatility
Despite spot market fluctuations:
- 10 approved Bitcoin ETFs have traded $57.2B volume
- Total AUM: $60.53 billion
- March 12 set single-day inflow record (>$1B)
Analyst Ki Young Ju notes:
"At current buying rates, demand could outpace supply within six months, potentially creating a liquidity crisis and pushing prices beyond expectations."
FAQ: Understanding the Crypto Crash
Q1: Why did crypto prices suddenly drop?
A: Combination of profit-taking, institutional warnings, and typical market volatility.
Q2: Should investors worry about liquidations?
A: Yes—always maintain adequate margin and use stop-loss orders during high volatility.
Q3: How might the Bitcoin halving affect prices?
A: Historically bullish long-term but may pressure miner revenues short-term.
Q4: Are ETFs stabilizing the market?
A: They're bringing institutional capital but may increase volatility during mass redemptions.
👉 How to protect your portfolio during market downturns
Note: Trading cryptocurrencies involves substantial risk. This content is for informational purposes only.