After ‘Leverage Wipeout’, Bitcoin Rises Again With $60,000 In Sight

After ‘Leverage Wipeout’, Bitcoin Rises Again With $60,000 In Sight

Share to Linkedin Blackouts in China and a leverage wipeout took a toll on Bitcoin two weeks ago, but the Godfather of ... [+] crypto recovered well last week. This week, more of the same is expected. BTC $60, 000 here we come. (Photo Illustration by Omar Marques/SOPA Images/LightRocket via Getty Images) If you didn't know Bitcoin was highly volatile, you probably do now. The grandfather of cryptocurrencies can drop $10, 000 in value in 48 hours. The most recent decline was short lived. Leveraged bets got killed. Now we are returning to the "Bitcoin Moon" launchpad. "Throughout the last week we have seen a total wipeout of leverage from the Bitcoin derivatives markets," Will Clemente wrote as a guest analyst in Friday's issue of The Pomp Letter on Substack. Since Bitcoin's all-time highs two weeks ago, when it broke through $60, 000, the open interest in Bitcoin futures has fallen by $8, 912, 806, 107 across all major exchanges. "The sell-off was also healthy for the market for another reason aside from the leverage wipeout; coins were washed from weak-hands to strong-hands," Clemente wrote, adding that there's been a pattern of new market participants selling as older market participants