Bitcoin Price Rejected at $70,000 Amid 260M Crypto Liquidations

Bitcoin, the largest cryptocurrency by market capitalization, dropped back below the $70,000 level on March 27, causing massive liquidations across derivatives markets.

BTC price fell rapidly from a high of $71,821 during the start of the New York trading session on Wednesday, March 27, to a low of $68,324, according to data from CoinMarketCap.

At the time of writing, the Bitcoin was trading at $69,623, down 1% over the last 24 hours.

BTC's daily trading volume has jumped 13% over the same time frame to $41 billion, as bears book profist at current levels. Bitcoin's market cap has increased to $1.371 billion, reinforcing its position as the most valuable cryptocurrency in the world.

Over $261 million liquidated across crypto markets

BTC's drop below $70,000 has resulted in a number of leverage positions being liquidated across the crypto market. According to data from Coinglass, more than $261 million has been liquidated — $177 million of these being long liquidations over the last 24 hours. Over $40 million short position BTC liquidations have been experienced over the last 24 hours, with the daily tally continuing at the time of publishing.

Total crypto liquidations. Source: Coinglass

The largest single liquidation order occurred on Binance for the BTC/USD pair valued at $10.13 million.

Bitcoin's V-shaped recovery pattern points to a sustained upside

After hitting new all-time highs at $73,808 BTC price fell sharply dropping 18% to $60,805, before climbing again steeply to the current level. This had led to the appearance of a V-shaeps recovery chart pattern on the daily chart.

At the time of publication, BTC eas fgigitnign resistance from the resistance level at $70,100. A daily candlestick close above this level would see Bitcoin's price rise to revisit the all time highs, just 6% away from the current price.

Breaking all-time highs would usher Bitcoin into price discovery with some traders saying that the $80,000 level would be the first stop for the big crypto.

BTC price chart. Source: CROW

The moving averages are pointing upward, and the relative strength index (RSI) runs within the positive region at 58. This suggested that the market conditions still favoured the upside.

 On the downside, the bears would try to pull the price below the chart's support line at $68,550, with the $68,000 psychological level providing the first line of defense. In dire cases, BTC could drop to $65,000 and later to the V-shape's low at $60,805.