- Bitcoin’s price drop below $100K triggers $68M in long liquidations across exchanges.
- Arthur Hayes predicts a $70K-$75K correction before Bitcoin’s rise to $250K.
- MicroStrategy’s aggressive Bitcoin strategy boosts holdings to 471,107 BTC.
Bitcoin’s price recently dropped below the $100,000 mark, triggering a significant wave of long liquidations. According to glassnode data, over the past 24 hours, liquidations across exchanges totaled $68 million, marking one of the most notable events in recent days. The 24-hour simple moving average (SMA) of Bitcoin long liquidations reached $2.9 million, ranking it as the third-largest long liquidation event in the past three months.
Despite this surge, the scale of this liquidation was less severe than previous spikes, where one-hour liquidations peaked at $38 million and $44 million, respectively. This suggests a shifting market dynamic, potentially setting the stage for further volatility.
Arthur Hayes’ Forecast
Renowned analyst Arthur Hayes has offered his outlook on Bitcoin’s future. He predicts a temporary correction in the range of $70K to $75K, which he refers to as a “mini financial crisis.”
Hayes believes this dip will trigger a broader economic shift, possibly leading to resumed money printing. He forecasts that this will set the stage for Bitcoin’s eventual surge to $250K by the end of 2025. This projection aligns with broader market sentiment, where short-term price corrections are seen as opportunities for long-term growth.
MicroStrategy’s Aggressive Bitcoin Accumulation Strategy Continues
Amid the recent volatility, MicroStrategy, the world’s largest corporate Bitcoin holder, continues to aggressively accumulate Bitcoin. Between January 21 and January 26, the company acquired an additional 10,107 BTC, spending approximately $1.1 billion. This purchase raised its total Bitcoin holdings to 471,107 BTC.
The average purchase price of the new Bitcoin was $105,596 per coin. MicroStrategy’s commitment to Bitcoin has been unwavering, with its acquisition strategy expanding from corporate cash purchases to financing through debt issuance, including convertible notes and senior secured notes.
Moreover, MicroStrategy’s ambitious growth plans include a proposal to increase its common stock to 10.33 billion shares and its preferred stock to 1.005 billion shares. This strategy would provide the company with the flexibility to raise additional capital as needed, supporting its Bitcoin acquisition efforts.
