NewsBTC
No Result
View All Result
  • Cryptocurrency News
    • Bitcoin News (BTC)
    • Ethereum News (ETH)
    • Ripple News (XRP)
    • Shiba Inu News (SHIB)
    • Cardano News (ADA)
    • Dogecoin News (DOGE)
    • Solana News (SOL)
    • Litecoin News (LTC)
    • Avalanche News (AVAX)
    • Polygon News (MATIC)
  • Crypto Prices
    • Binance Coin (BNB) Price
    • Bitcoin (BTC) Price
    • Cardano (ADA) Price
    • Chainlink (LINK) Price
    • Dogecoin (DOGE) Price
    • Ethereum (ETH) Price
    • Litecoin (LTC) Price
    • Polkadot (DOT) Price
  • Crypto Resources & Directory
  • All Crypto
  • Play GamesTry
  • CasinosTry
Breaking News: Coinbase Confirms DOJ Investigation Following Major Security Incident
  • Cryptocurrency News
    • Bitcoin News (BTC)
    • Ethereum News (ETH)
    • Ripple News (XRP)
    • Shiba Inu News (SHIB)
    • Cardano News (ADA)
    • Dogecoin News (DOGE)
    • Solana News (SOL)
    • Litecoin News (LTC)
    • Avalanche News (AVAX)
    • Polygon News (MATIC)
  • Crypto Prices
    • Binance Coin (BNB) Price
    • Bitcoin (BTC) Price
    • Cardano (ADA) Price
    • Chainlink (LINK) Price
    • Dogecoin (DOGE) Price
    • Ethereum (ETH) Price
    • Litecoin (LTC) Price
    • Polkadot (DOT) Price
  • Crypto Resources & Directory
  • All Crypto
  • Play GamesTry
  • CasinosTry
Bitcoin News
No Result
View All Result
Breaking News: Coinbase Confirms DOJ Investigation Following Major Security Incident

Why Did Bitcoin’s Price Plunge 50% to $3,800 In 24 Hours?

Nick Chong
Nick Chong
5 years ago
2 mins read
what crashed crypto market

Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

Yesterday was undoubtedly one of Bitcoin’s worst days ever; in fact, yesterday’s 40% loss was only second to the BTC price collapse in the wake of the collapse of Mt. Gox, then the largest and most important crypto exchange. At the drop’s worst, the cryptocurrency was down 50% in a single 24-hour period, falling from $7,700 to as low as $3,800.

Unsurprisingly, many traders were caught with tier pants down during this move, so to say, with BitMEX reporting that nearly $1 billion worth of Bitcoin positions on their exchange (majority long positions) were liquidated in this massive crash lower.

We’re fast approaching $1 billion in Bitcoin long position liquidations today.

This is unprecedented.

— Cole (@cole0x) March 13, 2020

This has left many wondering — what pushed BTC so far lower? And, more importantly, what comes next?

What Pushed Bitcoin Lower? Analysts Weigh In

Ross Middleton, a chief financial officer at crypto exchange DeversiFi, is pointing to weakness in traditional markets forcing institutional investors out of their positions on Bitcoin, which is an alternative asset that per traditional standards should be the first to go:

Traders are pulling money out of Bitcoin to fund their margin calls on other asset classes. Perhaps they think that there will be better short-term opportunities to go long other asset classes in the near future.

This was echoed by Raoul Pal — a former executive at Goldman Sachs and CEO of Real Vision. He said the drop may be related to “hedge funds that were long Bitcoin having to liquidate,” citing the fact that managers need to keep their portfolio within a certain risk level.

Indeed, Bitcoin’s volatility has spiked, corroborating Pal’s point. Though, there is a chicken and the egg situation with the volatility; more selling results in higher volatility, higher volatility results in more selling.

There’s also talk about an ongoing liquidity crisis in the back-rooms of Bitcoin market-makers. Purportedly, market-makers on certain exchanges have dumped all their positions, meaning there is no buy-side demand to support BTC.

Another Theory…

There is also one other theory.

Rumor has it that the PlusToken scammers moving coins may have triggered (or at least contributed to) the sell-off. Indeed, in the day prior to the dump, the operators of the multi-billion-dollar PlusToken scam were found to have moved over $100 million worth of BTC into mixing services for privacy reasons, then presumably dumped onto exchanges for fiat or fiat equivalents.

Featured Image from Shutterstock
Tweet123Share246ShareSend
Nick Chong
Nick Chong

Nick Chong

I am a writer who has been following Bitcoin for years now. My insights and interviews have been featured in leading publications in the industry such as LongHash and Decrypt. I own a small amount of Bitcoin.

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

Related News

Dwie kryptowaluty, które mogą w 2025 roku zamienić 100 dolarów w 1 000.

Две криптовалути, които могат да превърнат 100 долара в 1 000 през 2025 г.

Както се оказа до края на 2024 г., тайната за постигане на големи печалби на криптопазара не беше по-сложна от...

Georgi Petrov 2 hours ago
Investing in crypto

Két kriptovaluta, amellyel 100 dollárból 1.000 dollár lehet 2025-ben

Ahogy 2024 végére kiderült, a kriptovalutapiacon való nagy nyereség elérésének titka nem volt bonyolultabb, mint szinte bármelyik, nem teljesen gyanús...

Kovács Bálint 2 hours ago
Dvě kryptoměny, které mohou v roce 2025 proměnit 100 dolarů na 1 000.

Două criptomonede care pot transforma 100 de dolari în 1.000 de dolari în 2025

Așa cum s-a dovedit până în decembrie, secretul pentru a obține câștiguri mari pe piața cripto din 2024 nu a...

Munteanu Cristian 2 hours ago
Load More

Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

Related News

Worldcoin WLD news Sam Altman

Sam Altman’s Worldcoin Raises $135 Million—WLD Token Jumps 15%

Jake Simmons 53 minutes ago
Dwie kryptowaluty, które mogą w 2025 roku zamienić 100 dolarów w 1 000.

Dwie kryptowaluty, które mogą w 2025 roku zamienić 100 dolarów w 1 000.

Zieliński Michał 1 hour ago
Dvě kryptoměny, které mohou v roce 2025 proměnit 100 dolarů na 1 000.

Dvě kryptoměny, které mohou v roce 2025 proměnit 100 dolarů na 1 000.

Doležal Pavel 1 hour ago

Premium Sponsors

Top Brands

Press Releases

  • Seize the opportunity while tariffs are suspended! Start...

    54 minutes ago
  • BTC prediction: BTC break through $110,000 this week and is...

    1 hour ago
  • How to Make $4,000 a Day Using XRP on the New Age Cloud...

    8 hours ago
  • Are you still waiting? Others earn $12,000 a day from cloud...

    9 hours ago
  • ALL4 Mining Service Provider Launches User-Friendly Cloud...

    10 hours ago

Newsletter

Be the first to get the latest important crypto news & events to your inbox.

  • This field is for validation purposes and should be left unchanged.

About Us

NewsBTC is a cryptocurrency news service that covers bitcoin news today, technical analysis & forecasts for bitcoin price and other altcoins. Here at NewsBTC, we are dedicated to enlightening everyone about bitcoin and other cryptocurrencies.

We cover BTC news related to bitcoin exchanges, bitcoin mining and price forecasts for various cryptocurrencies.

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

Company

  • About Us
  • Advertising
  • Contact Us
  • Privacy Center

Social

© 2025 NewsBTC. All Rights Reserved.

  • Cryptocurrency News
    • Bitcoin News (BTC)
    • Ethereum News (ETH)
    • Ripple News (XRP)
    • Shiba Inu News (SHIB)
    • Cardano News (ADA)
    • Dogecoin News (DOGE)
    • Solana News (SOL)
    • Litecoin News (LTC)
    • Avalanche News (AVAX)
    • Polygon News (MATIC)
  • Crypto Prices
    • Binance Coin (BNB) Price
    • Bitcoin (BTC) Price
    • Cardano (ADA) Price
    • Chainlink (LINK) Price
    • Dogecoin (DOGE) Price
    • Ethereum (ETH) Price
    • Litecoin (LTC) Price
    • Polkadot (DOT) Price
  • Crypto Resources & Directory
  • All Crypto
  • Play Games
  • Casinos
Advertise

© 2025 NewsBTC. All Rights Reserved.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy Center or Cookie Policy.