Will the next support be $48,000?

• Bitcoin faces strong selling pressure, falling below $53,500 as Mt. Gox begins creditor repayments. Significant market volatility has led to liquidations totaling $589 million.
• If Bitcoin fails to recover to $61,000, it risks a further decline to $48,000 with no immediate support in sight.

The world’s largest cryptocurrency, Bitcoin (BTC), faces strong selling pressure as it dips below $53,500 as Mt. Gox begins repaying creditors. At press time, Bitcoin is down 4.89% at $55,037 with a market cap of $1.084 trillion, extending its weekly losses to over 10.5%.

Bitcoin and the broader cryptocurrency market volatility have led to significant liquidations, totaling $589 million, with over $511 million in long positions and $78 million in short positions. Surprisingly, nearly $100 million has been liquidated in the last hour alone.

Italian: https://www.youtube.com/watch?v=CRWwrHPQyqk

Despite this, Avinash Shekhar, CEO of crypto derivatives exchange Pi42, noted in an interview with BeInCrypto that such price volatility presents opportunities for short-term traders. Shekhar She said:

Such movements usually present opportunities, especially for scalpers who want to recover their liquidated trades.

What’s Behind the Bitcoin Price Crash?

Further destabilizing the market, the Mt. Gox bankruptcy estate transferred billions of dollars in Bitcoin to an unknown wallet. According to blockchain analytics firm Arkham Intelligence, this involved the movement of 47,228 BTC, worth approximately $2.71 billion. According to the latest relationship From CNF, Mt. Gox began refunding BTC and BCH to creditors today.

Prior to this, the estate conducted several small test transactions. With redemptions expected to begin soon, approximately 142,000 BTC and 143,000 Bitcoin Cash (BCH) are ready to be disbursed.

Furthermore, recent actions by the German government have increased market anxiety, reported Cryptocurrency news flash. This week, he transferred about 1,300 BTC, worth about $75.5 million, to his wallet and several cryptocurrency exchanges, including Bitstamp, Monetary baseand Kraken. This development has increased fears of further price declines.

Bitcoin Price Crashes to $48,000?

Amid these developments, renowned cryptocurrency analyst Miles Deutscher expressed his frustration, suggesting that a rapid drop to $48,000 could put an end to the current market turbulence. Deutscher he wrote:

Can we just go to $48,000 and be done with this bullshit? Dear Germany and Mt. Gox, please throw down your entire stack. Dear dealers, please panic sell your low conviction alts. Let the pain go away quickly, then just up,

Ali Martinez, a well-known cryptocurrency analyst, highlighted the current lack of significant support for Bitcoin. According to Martinez, the primary demand wall is around $47,000. According to CNF updateFor the bull run to resume, Bitcoin must close and hold a position above $61,000.

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The recent Bitcoin sell-off has led to major liquidations in the broader cryptocurrency market. Over $600 million has been liquidated from the cryptocurrency market in the past 24 hours, as altcoins are facing an even deeper correction.

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