Bitcoin fell more than 4.5% to a local low of $68,000 on April 1, marking a red start to the month after seven consecutive monthly closes in the green.
The flash crash resulted in $319.43 million in liquidations over the past 24 hours, with long positions accounting for the vast majority at $252.42 million.
Although there was some recovery over the past hour, the immediate aftermath saw a staggering number of traders caught in the downturn. The drop comes after the flagship crypto climbed to $71,500 over the weekend to close a monthly candle at the highest price in history.
BTC was trading at a critical support level of $68,500 at press time, based on CryptoSlate data.
Most of the crypto market reflected the crash, with Ethereum and Solana falling 5.91% and 6.63% in the past 24 hours.
ETH was trading at $3,434, while SOL was trading at $189 at press time.
Market Sentiment
Trading sentiment remains cautious as BTC/USD levels fell to their lowest level since March 25, prompting traders to closely monitor support levels.
Continued selling pressure could cause Bitcoin to retest $67,200 if it drops below the 200-period moving average on a four-hour time frame.
Despite achieving a historic seventh consecutive green monthly close, there is consensus that the path to the halving may not be a straightforward upward trajectory.
However, market sentiment indicates a strong belief in the possibility of hitting new all-time highs after the halving, as evidenced by BTC bids of over $150 million deposited at $62,000 after a brief decline in below $69,000.
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