Bitcoin [BTC] may look poised to hit $25K, but here’s the ‘but’ of it all

ambcrypto.com:

During the intraday trading session on 13 March, sentiments across the cryptocurrency market improved. This, following the decision by the U.S. Department of the Treasury, Federal Reserve, and Federal Deposit Insurance Corporation (FDIC) to restore all customer deposits at failed Silicon Valley Bank (SVB).

As trading activity spiked, Bitcoin’s [BTC] price rallied above $24,000 for the first time in over two weeks. On the contrary, BTC had previously traded below the $20,000-level on 11 March when SVB collapsed.

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At press time, BTC was valued at $24,455 on the price charts, having rallied by almost 10% over the last 24 hours. Due to the uptick in price caused by the unexpected bailout of SVB depositors by Federal regulators, traders who had opened short-trading positions were caught off-guard and plunged into losses.

In fact, according to Coinglass, 55,851 traders were liquidated in the general cryptocurrency market, with $216.47 million removed in the last 24 hours. For the king coin, 4,300K BTC worth $104.46 million were taken off the market during that period, mostly made up of short positions. Additionally, during the trading session yesterday, as BTC’s price rallied above $24,000, over $81 million of BTC short positions were wiped out of the market. 

Source: Coinglass

Furthermore, many BTC investors have taken advantage of the price rally to cash in profits on their investments.

According to on-chain data provider Santiment, on 13 March, BTC saw the movement of 21,524 BTC back to exchanges – The highest daily amount since 13 September 2022. “Traders are profit-taking while they can,” Santiment observed.