Margin calls in crypto, but this is unlikely to be the bottom
Market overview
The crypto market capitalisation plummeted by more than 9% to $2.82 trillion, reaching its lowest level since the end of April. This already appears to be a real liquidation of margin positions. The following technically necessary support line seems to be the $2.4 trillion area. The market found support here in early April 2025 and consolidated around it throughout April 2024.
Bitcoin is trading below $83K, and at its lowest point fell to $81K, starting the day at $88K. The timing and scale of the dynamics suggest a wave of margin calls in the early hours of Friday, with an attempt at stabilisation during the European session. The price of Bitcoin has returned to the stabilisation levels seen from late February to…
