The price of Bitcoin has bounced back after falling as low as $29,400, which represented a 30% drop from its all-time high. The coin has rebounded to its current value of $30,700.
The sudden drop today came when Bitcoin fell by over $2,000, in the last 24 hours after starting the day above $32,000. As a result of the dip, declined by almost 15% against the US Dollar, and by nearly 5% against its largest cryptocurrency rival .
Bitcoin traders who were optimistic that Bitcoin’s price was due to increase were disappointed. This price correction caused over $50 million in liquidations of long positions, indicating that many traders might expect Bitcoin to drop even further.
According to Coinalyze, the majority of these liquidations occurred on Binance, which saw approximately $22 million liquidated today. Coming in second is ByBit, which saw almost $15 million worth of liquidations take place as Bitcoin dipped below $30,000.
But despite the price drop, there remains a sense of optimism that Bitcoin will reverse course.
30% drop reminiscent of 2017 rally
That means there are a few ways to look at this recent price drop.
One is that Bitcoin is on its way down, having seen a big peak in recent weeks. The other is that Bitcoin is still in a bull run that has a long way to go, and that this 30% drop may be just another hurdle on that road.
In this sense, it could be following the path it went down in 2017, which saw the coin rise 20X from its previous all-time high.
This argument is buoyed by institutions continuing to invest in Bitcoin.
Skybridge Capital COO Brett Messing told Decrypt that Bitcoin might reach $500,000 if institutions like Microstrategy continue to buy into the cryptocurrency. In addition, Messing even said Bitcoin could reach $150,000 within the next 15 months.
“I will be surprised if we don’t get above $100,000 in the next 15, 16 months,” Messing added.
And Messing is not alone in that assessment.
And that’s exactly what MicroStrategy CEO Michael Saylor is trying to achieve.
Read here about Ethereum price.
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