Yeah, there were a ton of weak hands in the market and they were all generally very overleveraged.
I don't think this was so much about weak hands than it was about the normal day traders who panic sold, because I believe that the weak hands have not yet come back to bitcoin. They are still scared due to the 3 months of constant FUD and price not going back up. Also when checking the "size" of the drop it was really not that big, 10 to 15% are generally not the work of weak hands in my opinion. 
Topic: The dump was only a funding reset - page 3. (Read 406 times)
It could be a funding reset if we are in a bull market still. Basically the same situation happened on Jan 11 and Feb 23. It had a nasty spike, funding reset, chopped around for a few weeks and made a new ATH shortly after. However the same situation happened again on April 18th and that was the peak pretty much. Because back then we werent in a bull market anymore.
So it might be a funding reset, if we are still in a bull market. However there is no way to tell. The crypto markets are still being pumped by celebrities. Not Bitcoin but mostly ETH and especially NFTs. However this all still is good for bitcoin itself. All we need right now is some Fortune500 company to say they put bitcoin on their balance sheet over the summer and we are golden.
So it might be a funding reset, if we are still in a bull market. However there is no way to tell. The crypto markets are still being pumped by celebrities. Not Bitcoin but mostly ETH and especially NFTs. However this all still is good for bitcoin itself. All we need right now is some Fortune500 company to say they put bitcoin on their balance sheet over the summer and we are golden.
Yeah, there were a ton of weak hands in the market and they were all generally very overleveraged.
It wasn't even a crash by any means and not sure what people are talking about when they say that this is a massive bear market in the making.
It's just a short term dump, and at the end of the day this really does not matter in the grand scheme of things.
It wasn't even a crash by any means and not sure what people are talking about when they say that this is a massive bear market in the making.
It's just a short term dump, and at the end of the day this really does not matter in the grand scheme of things.
OP, but September being a “negative month” might be overturned by the crash in my opinion. Bitcoin crashed within the first 10 days early during the month of September after an August surge. What does Bitcoin do after every crash during a bull market? 
I speculate the dump was only a funding reset. The whole cryptospace market might have been pumping on too much high leverage trades already. The small correction from $50k caused a series of liquidations being activated that caused the price to dump lower. This can be viewed with open interest data.
According to bybt.com $3.72 billion was liquidated in 24 hours with much of this happened within 1 hour.
Also, this should be expected. September was always a negative month for bitcoin during bull markets.
Source https://www.bybt.com/today
Practically speaking , we cannot called this as a dump because we started at 30k level before this 50k level reached meaning in any chances this is still a Hype ranging from 42-47,000 as of now.According to bybt.com $3.72 billion was liquidated in 24 hours with much of this happened within 1 hour.
Also, this should be expected. September was always a negative month for bitcoin during bull markets.
Source https://www.bybt.com/today
i think what we can call dump if the value fell down back to 30k or even 20k level then that is alarming.
other investors only taken their profit so expect a small fall from the price but does not necessarily mean we have been dumping now.
It wasn’t nice to see live, this is bitcoin though & none of us should be surprised. I have a habit of panicking when these things happen but I never sell. Isn’t cool to watch your net worth tumble. 1BTC = 1BTC though so HODLERS not affected etc. I am still fully confident that we’ll see more highs THIS year.
It is normal to panic to see price drops, but as long as we can stay calm and not sell our bitcoin, we will be fine and have the other time to sell bitcoin, especially when the price can bounce to the high price. This correction is deep but we do not have to worry as the price will start another bullish trend so we can expect to make a profit later. Hopefully, after this drops, the price will get more attention from big investors out there so they will invest in bitcoin and give more chances for the price to break and make a new ATH. It wasn’t nice to see live, this is bitcoin though & none of us should be surprised. I have a habit of panicking when these things happen but I never sell. Isn’t cool to watch your net worth tumble. 1BTC = 1BTC though so HODLERS not affected etc. I am still fully confident that we’ll see more highs THIS year.
Hahaha it is really a dump though but shouldn't get shivers down your mind as you already know the system and volatility of bitcoin with your experience. Although one thing I have seen about bitcoin is that we expect this kind of dump as correction after a while during a bull. I have read some talking about September being the time for some dump but I can't confirm that, but I surely expect a correction and it will bounce off going back bull soon. It dropping from $52,000 to $42,000 yesterday was really scary anyway but I see it as correction.
I have also read somewhere that billions worth of leveraged orders were liquidated in a matter of hours. Those leveraged orders are probably the reason why the dump took place. That was a big amount of money to be harvested by large market players. Very unfortunate to those who were confident enough that the price of Bitcoin is still going to rise and risked putting very high leverages in their orders. They are so juicy and attractive that the crocodiles in the market couldn't resist to liquidate.
I admit sometimes Bitcoin can give you a heart attack especially if you haven’t got to know of these strong swings it's fond of making. This minute everyone is bullish about the asset before you know it it's crashing down hard and you can imagine being in leveraged trade of 100x or so your account wouldn't survive, worse off you looking at the charts and seeing this unfold before your eyes...it's traumatizing to say the least.
Also, this should be expected. September was always a negative month for bitcoin during bull markets.
Looking at the chart in the OP, after September passes if this historic data holds we are going to be bullish once again, maybe new ATH coming too...$75k maybe.Lol, if you are newbie then maybe you will have heart attack seeing the price drastically go down from $52k-$43k in an instant. And if you have a feeling like this, crypto market is not for the faint of heart. Hopefully Sept though will be another good month, historically, it doesn't look good, but who knows maybe can see a change this year.
It wasn’t nice to see live, this is bitcoin though & none of us should be surprised. I have a habit of panicking when these things happen but I never sell. Isn’t cool to watch your net worth tumble. 1BTC = 1BTC though so HODLERS not affected etc. I am still fully confident that we’ll see more highs THIS year.
I didn't witnessed it, but I was just surprised to see the price plummeted just like that in matter of hours, billions worth being liquidated.
But holders we should remain calm, as we have seen worst in a day.
Regardless though of the reason be it funding reset or whatever, it seems that the dust have settled, we are above the average $43k which is the big support right now.
I admit sometimes Bitcoin can give you a heart attack especially if you haven’t got to know of these strong swings it's fond of making. This minute everyone is bullish about the asset before you know it it's crashing down hard and you can imagine being in leveraged trade of 100x or so your account wouldn't survive, worse off you looking at the charts and seeing this unfold before your eyes...it's traumatizing to say the least.
Also, this should be expected. September was always a negative month for bitcoin during bull markets.
Looking at the chart in the OP, after September passes if this historic data holds we are going to be bullish once again, maybe new ATH coming too...$75k maybe.
Bears are making profits because many users was expecting september to be bearish month according to previous history. But according to TA, it was quite expected because it's just like the same correction which was happened back in April after hitting the ATH. Also, don't think we're going to back to a new dip in this month as bulls can take the control anytime and any spike on weekly candle can be triggered fomo among all users, IMHO. But it's best for diamond hand hodlers whatever month is going on.
It wasn’t nice to see live, this is bitcoin though & none of us should be surprised. I have a habit of panicking when these things happen but I never sell. Isn’t cool to watch your net worth tumble. 1BTC = 1BTC though so HODLERS not affected etc. I am still fully confident that we’ll see more highs THIS year.
I speculate the dump was only a funding reset. The whole cryptospace market might have been pumping on too much high leverage trades already. The small correction from $50k caused a series of liquidations being activated that caused the price to dump lower. This can be viewed with open interest data.
The dump triggered funding reset but was not "only a funding reset". I agree with you about the reason of such strong dump (an avalanche of automatic orders that fueled itself by triggering new orders with price going down and down) but no matter what the reason was ... we dumped hard. I'm not expect fast recovery. We dumped 10k$ in 12h. 4k$ (10%) in just 5 min. Not even mentioning alts which dumped 20-50% yesterday. This will scare every investor away. First rule - protect your money. Second - earn. Rational investor will step back now to see how things will evolve. For sure will not rush in - "yolo buy the dip". Chart is destroyed so volume from TA traders is out.
Whats done (devastating dump) is done. No matter what the reason was. I'm not saying that bitcoin is dead. I'm saying that we will need weeks/months to gain enough self-confidence to attack 52k again.
It was just a correction and what keeps the cryto market functional, some people that have thought they have missed out will have to think and buy bitcoin so it can really to $50000 again, the reason I like crypto market is the retracement and retesting prices, nothing could have been good than that because it makes people to buy when the market dump and some people to sell to take profit at certain level of price increase. Bitcoin all the way from $52000 decreased yesterday to $43000 and the price rally has begin right from yesterday, it is now currently at $45000, we should be expecting $50000 next again.
I speculate the dump was only a funding reset. The whole cryptospace market might have been pumping on too much high leverage trades already. The small correction from $50k caused a series of liquidations being activated that caused the price to dump lower. This can be viewed with open interest data.
According to bybt.com $3.72 billion was liquidated in 24 hours with much of this happened within 1 hour.
Also, this should be expected. September was always a negative month for bitcoin during bull markets.
Source https://www.bybt.com/today
According to bybt.com $3.72 billion was liquidated in 24 hours with much of this happened within 1 hour.
Also, this should be expected. September was always a negative month for bitcoin during bull markets.
Source https://www.bybt.com/today
Jump to: