Bitcoin experienced significant volatility on Sunday following a major announcement from U.S. President Joe Biden. After dipping below $66,000, the cryptocurrency quickly rebounded above $68,000. Here’s a detailed look at what happened.

At 4:30 p.m. EDT, Bitcoin (BTC) was trading between $67,968 and $68,108 per unit. Earlier in the day, the price had plummeted to an intraday low of $65,833, only to bounce back to a high of $68,239. This rapid price movement came shortly after President Biden announced he would not seek re-election in 2024.

The Impact of Biden’s Announcement

The sudden dip in Bitcoin’s price coincided with Biden’s announcement. This news caused significant market turbulence, leading to the liquidation of $37.32 million in Bitcoin long positions within 24 hours. Overall, the crypto market saw over $100 million in long positions liquidated.

The volatility wasn’t limited to Bitcoin. Ethereum (ETH) also saw a substantial number of long positions wiped out, totaling $29.58 million. Across the entire crypto market, $145.35 million in both long and short positions were liquidated due to the price swings.

The Bigger Picture

The broader crypto market, valued at $2.45 trillion, experienced a minor decline of 0.19% despite Bitcoin’s price movements. The volatility resulted in the liquidation of 49,787 traders, with one notable Bitcoin-leveraged bet on Binance losing $10.95 million in a single transaction.

Sunday’s events highlight the sensitivity of the crypto market to major political announcements. While Bitcoin managed to recover quickly, the substantial liquidations underscore the risks involved in leveraged trading during such volatile periods. As the market continues to react to global events, traders should remain cautious and prepared for sudden shifts in prices.