Bitcoin Faces Significant Decline Amid Market Volatility

Despite recent losses, Bitcoin has outpaced traditional assets in 2023, with hopes of a U.S. spot bitcoin ETF renewing investor energy.

Bitcoin's price has experienced a significant decline, dropping to approximately $40,306, with a total of 66,551 traders experiencing liquidations amounting to $236.04 million.
Bitcoin has leapt 164 per cent since Jan. 1 and is trading above $40,000, outpacing traditional assets like gold and the S&P 500.
Bitcoin's gains came later in the year as a potential U.S. spot bitcoin exchange-traded fund (ETF) and hopes of easier monetary policy renewed investor energy.
Bitcoin's 55 per cent run in the fourth-quarter has been attributed to bets that a spot bitcoin ETF will be approved in the U.S. and pull in money from retail and institutional investors alike.
Analysts observe that it is crucial for Bitcoin to maintain its levels of $36,500-38,000 on higher time frames, with further corrections likely as US data is released.