The entire network was liquidated by 200 million magnesium! After BTC surged to 70,000, it "plunged four thousand points" suddenly. Why the sudden big dump?

AI - 2024.07.30 - By Ariel
BTC rose to the long-awaited high of $70,000 last night, followed by a flash crash. Why did it suddenly have a big dump? Many foreign media attribute the reason of the big dump to the 'US government'. The entire network got liquidated for 200 million magnesium! BTC fell by 'four thousand points' after rushing to 70,000.
After nearly a month of absence, BTC surged to a high of $70,079 again last night, followed by a sudden flash crash and fell to as low as $65,862 this morning (30th), evaporating more than 4,000 points in total.
And CoinGlass data also shows that in the past 24 hours, the total amount of liquidations approached nearly 200 million USD, with the amount of liquidations for bullish traders (buy rise orders) being two to three times that of short orders (buy fall orders), causing heavy losses for this wave of bullish traders.
Why did BTC suddenly big dump? US government selling pressure causes panic
After surging to $70,000, why did BTC suddenly have a big dump? Many foreign media attributed the reason for the big dump to the "US government".
According to the foreign media 'Cointelegraph' in the crypto world, data from the blockchain analysis platform Arkham shows that the Wallet of the US government transferred about $2 billion worth of BTC last night, and the price of BTC experienced a sharp reaction almost simultaneously, plummeting from a high of $70,000.
Prominent anonymous analyst Skew said that on the surface, the US government simply transferred funds to a new Wallet, but this is usually a pre-action for Over-the-counter Trading-related auctions. The founder of the fund angrily criticized the country for disrupting the BTC pump trend.
Just like the previous mass selling of coins by the German government, this time the market seems to be once again affected by government selling pressure. Charles Edwards, founder of digital asset fund Capriole Investments, complained:
"Just when you thought the dumping was over, the current government found another way to mess us up." Skew also pointed out the situation of large-scale profit-taking. From the market order book, BTCSpot buyers tried to push up the price but encountered a large amount of dumping, so the short-term frame (LTF) price could not be maintained above $70,000. As a result, some late long positions were forced to exit, and when the price was below $67,000, there would be more long positions closing, leading to a continued dumping trend. Another analyst, Josh Rager, made a pessimistic prediction that BTC has recently created three lower highs and the same thing may happen next; while trader CrypNuevo reminded investors to be cautious because the Federal Open Market Committee (FOMC) Interest Rate meeting will take place this Wednesday (early morning on August 1st, Taiwan time), and the market usually experiences severe fluctuations, 'this is not an easy week.'"