Bitcoin Surges as Crypto Liquidations Increase Following Biden’s Withdrawal
Bitcoin prices experienced a sudden drop following Joe Biden’s announcement of his withdrawal from the 2024 presidential election. The swift decline led to the liquidation of millions of dollars in long positions, although this downturn was short-lived.
Within just 30 minutes of Biden’s announcement, Bitcoin plummeted from $67,453 to $65,884, as per CoinGecko data, reflecting market uncertainty triggered by the unexpected political development. Similarly, Ethereum and Solana also witnessed temporary price dives in response to the broader market impact.
However, subsequent to Biden endorsing Vice President Kamala Harris as his replacement in the Democratic candidate race, Bitcoin and other major assets surged to levels not seen in over a month. Bitcoin reached a high of $68,284, its highest since June 12, before slightly cooling down. Meanwhile, Solana hit nearly $185, marking its highest price in two months.
The major political meme coins, primarily based on Solana, saw significant movements. The most valuable Kamala Harris meme coin, KAMA, surged to a new all-time high above $0.025 before stabilizing. Conversely, the leading Biden token, “Jeo Boden” (BODEN), plummeted by 52% in a day, now almost 99% down from its peak in April.
The market volatility resulted in substantial liquidations of both long and short positions on Sunday, totaling nearly $159 million in the past 24 hours. Long positions accounted for the majority of these liquidations, with $99 million across the market, a significant portion occurring during the initial price dip post-Biden’s announcement. Bitcoin led in total liquidations with $46 million, followed by Ethereum at $31 million.
The fluctuations in the market underscore the impact of political developments on cryptocurrency prices, highlighting the need for investors to stay vigilant and adapt to rapid changes in the market landscape.
