Markets
Trump’s Bitcoin 2024 Speech Triggers $24 Million in Long Liquidations Amid Market Volatility
Trump speaking at Bitcoin 2024. Source: Bitcoin Magazine Livestream.
Key points to remember
- Trump’s speech at Bitcoin 2024 led to a sharp rise and then fall in Bitcoin prices.
- Nearly $24 million in long Bitcoin positions were liquidated during the speech.
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Bitcoin prices saw significant volatility during former US President Donald Trump’s speech at Bitcoin 2024 in Nashville, where he unveiled his plans to establish a “national strategic bitcoin reserve” if he is re-elected.
The price of Bitcoin (BTC) saw dramatic swings as traders reacted to Trump’s remarks. Before the speechBitcoin broke above $69,000. However, the price then dropped to as low as $66,700 before rebounding to over $68,000, according to data from CoinGecko.
Trump’s announcement that he plans to create a national bitcoin reserve if elected falls in line with market expectations ahead of the event. The former president’s comments sparked a flurry of trading activity, with nearly $24 million in long positions liquidated during the speech alone.
Liquidation data
Coinglass data indicates that BTC saw the highest liquidation value at $5.03 million, followed by SOL at $2.44 million, and ETH at $1.46 million during the selected period. This indicates a significant volume of forced selling in these cryptocurrencies, with BTC being the most affected.
On the right side, the sheet details total liquidations for different time periods. Over the last hour, total liquidations reached $10.89 million, with $1.80 million in long positions and $9.09 million in short positions. Over four hours, liquidations totaled $94.96 million, with $71.28 million in long positions and $23.68 million in short positions.
Total liquidations over the 12-hour period were $146.87 million, with $94.20 million in long positions and $52.67 million in short positions. Over the 24-hour period, liquidations totaled $165.21 million, with $100.04 million in long positions and $65.17 million in short positions. These figures highlight that liquidations were larger for long positions across all time frames, indicating higher losses for long traders.
The cryptocurrency market as a whole mirrored Bitcoin’s price movements throughout the event. This volatility highlights the significant impact that high-profile political figures and policy announcements can have on cryptocurrency markets.
Rapid price swings and massive liquidations underscore the continued sensitivity of cryptocurrency markets to regulatory and policy developments. Trump’s proposal to create a national bitcoin stockpile represents a potential shift in the relationship between traditional government institutions and digital assets, if it comes to fruition.
Earlier this month, Donald Trump advocated that any future Bitcoin mining activity be conducted in the United States to counter central bank digital currencies and strengthen national energy dominance.
Analysts have also observed a notable increase in implied volatility in Bitcoin options, speculating on major announcements from Trump at the upcoming Bitcoin 2024 conference.
Donald Trump’s proposed policy for a a weaker US dollar If re-elected, he would be scrutinized for his potential to raise the value of Bitcoin, marking a shift from traditional strong-dollar policies.
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