https://ift.tt/0DmtBrK (BTC) Price Regains $40K Level Amid Recent Plummet

• The total crypto market value has fallen below $2 trillion.
• A total of $142 million worth of BTC longs were closed off.

Bitcoin (BTC) reclaimed the $40,000 level on Tuesday, April 12, after slipping below it over the last few days after losing momentum for seven of the previous eight days and is trading at  $40,221.39. Since the Federal Reserve began rising interest rates in reaction to historically high inflation and persistent geopolitical instability, Bitcoin and the entire cryptocurrency market have declined in recent weeks.

According to a survey of economists, inflation in the United States is expected to rise to 8.4% in March, the highest rate since early 1982. As a result, Goldman Sachs Group Inc. Chief Economist Jan Hatzius believes that the Federal Reserve may be obliged to raise interest rates “much” higher than it presently expects to stabilize the US economy.

Long-holdings Liquidated

Investors who had hoped that Bitcoin (BTC) was nearing a bottom were surprised by the cryptocurrency’s recent decline. As BTC lost ground, long holdings were liquidated at their most immense level since late January.

With most of the leading cryptocurrencies losing between 2 and 8 percent of their value in only 24 hours, the largest crypto was also down 3 percent. As a result, the total crypto market value has fallen below $2 trillion for the second time this year, plunging nearly $150 billion in the last week alone.

According to Coinglass, the crypto market has seen $385 million in long bets cancelled in the last 24 hours. Almost 90% of all overnight liquidations were long, suggesting that most traders were preparing for a rebound. Only 57 million dollars were missing from the $442 million in liquidations. A total of $142 million worth of BTC longs were closed off, or nearly 87% of the total. Bitmex received the most significant single liquidation order for $10 million.