Bitcoin price dips, $130 million in total liquidations with economist anticipating long weekend for BTC bulls


  • Bitcoin price has recorded double-digit losses since spot ETFs started trading on January 11, 8% drop on Friday.
  • BTC suffers partly in the wake of Grayscale GBTC dumping as holders leverage open redemption options.
  • Renowned economist anticipates tough weekend for BTC holders, as trading volumes drop 40%. Liquidations hit $13 million.  

Bitcoin (BTC) price is trading with a bearish bias, coming on the back of Grayscale (GBTC) dumping as investors seize the opportunity to redeem their Grayscale trust, selling BTC to the open market.

Also Read: Grayscale outflows near $600 million on trading day 3 as GBTC holders leverage spot BTC ETF approvals

Bitcoin price drop liquidates $130 million positions

Bitcoin (BTC) price dropped 8% on Friday and saw up to $130 million in total liquidations. This comprised $112.84 million longs and $17.57 million worth of short positions.

BTC liquidations

With this, up to $1.19 billion in open interest went down the drain as GBTC holders seized the opportunity to exit from the $25 billion held in the Grayscale trust, as the opening of redemptions finally provided a way out.

According to Bloomberg ETF analyst James Seyffart, the Grayscale GBTC had an outflow of $484 million, while other players in the ETF market like ARK Invest were recording inflows of up to $42.5 million, with the former moving Bitcoin to Coinbase addresses, a move pointing to users redeeming.

Renowned economist and strategist Peter Schiff anticipates a long weekend for BTC holders as the retail market takes a back seat. He anticipates more sell pressure especially “if the new Bitcoin ETFs gap way down on Monday.”

At the time of writing, Bitcoin price is $42,711, with multiple indicators flashing bearish as the weekend sets in. Nevertheless, the big picture bullishness is still not threatened, until such a time when Bitcoin price descends to the $30,000 psychological level.

BTC/USDT 1-day chart


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