Yesterday, the entire crypto market experienced a substantial downturn on compounding the selling pressure witnessed over the past three weeks. The leading cryptocurrency, Bitcoin (BTC), dropped down by over 20% from its highs in June and May, dropping as low as $54,200 on several exchanges.
The market decline was largely attributed to the long-awaited trustee overseeing the Mt. Gox bankruptcy, who announced the commencement of repaying their creditors soon. As a result, the entire cryptocurrency market shed over $500 billion in combined market capitalization in just 24 hours.
The decline in crypto prices led to substantial liquidations in the derivatives markets, with over 229,755 traders experiencing combined liquidations worth $639.58 million in the past 24 hours. But as soon as the latest unemployment and non payroll jobs data report came out and analysts anticipating interest rate cuts either from Sept or Nov, BTC started rebounding on this news.
As of now, at the time of writing this article, BTC is trading around $57,000 and seems rebounding with a gain of 1.37% in the past 24 hours and has a market capitalization of $1.124 Trillion.