Bitcoin's First-Ever $20,000 Daily Candle Emerges: What's Next?

The crypto market cratered over the weekend, with Bitcoin setting a number of firsts.

The sell-off began Friday as investors reacted to macroeconomic concerns, with Bitcoin sharply plunging from a high of $122,600 to reach $107,000.

The drop continued on Saturday with Bitcoin marking three straight days of declines since Oct. 6.

Amid the sell-off on Saturday, crypto’s total market cap fell to $3.76 trillion with $19.36 billion liquidated across digital assets, according to CoinGlass data, marking the biggest crypto liquidation event ever.

At the time of writing, total crypto market capitalization was lower, currently at $3.72 trillion, as most crypto assets still traded down on daily and weekly basis.

Bitcoin still remains in red, down 0.25% in the last 24 hours and down 11% weekly.

Bitcoin sets record

Bitcoin has set new records amid the market sell-off, albeit not in price. As Bitcoin fell from $122,600 on Friday to about $107,000, it printed its first-ever $20,000 daily candle; however, not the green one usually expected, it was a red candle, highlighting its crash.

Likewise, a new record was set in the futures market, also a not-so-pleasant one, with the biggest open interest wipeout. According to Glassnode, Bitcoin futures markets experienced their largest single-day open interest wipeout in history, with over $11 billion in positions cleared. This highlights massive deleveraging in the market, with a substantial number of traders recording losses.

The next major support level for Bitcoin is $100,000, a close below which would signal the end of the past three-year bull cycle. Bitcoin options market reflected this with the highest number of “put” or sell strikes at $110,000 and the next highest at $100,000, according to data on the Deribit platform.