Bitcoin Dumps 10% Below $41K, Crypto Market Loses $150B After Cramer Voices Support

Bitcoin (BTC) recently tumbled 10% below $41,000, dragging down the entire crypto market in a $150 billion loss in valuation following Jim Cramer’s recent supportive remarks.

Cramer, CNBC Mad Money host and seasonal crypto critic, might be the sell signal every investor needs, as humorously suggested by the crypto community. After occasionally criticizing BTC and crypto, Cramer recently commented on Bitcoin’s surge above $45,000.

Notably, BTC began 2024 on favorable grounds, leveraging the rally it started last October to surge past $45,000 on Jan. 2. This marked the first time Bitcoin reclaimed the $45,000 price territory after it dropped below it in April 2022. 

The crypto asset eventually surged to $45,879 yesterday before facing resistance. Despite the resistance, BTC held above $44,800, as it aimed to seal its position above $45,000. Amid the impressive performance, Cramer asserted yesterday on CNBC that Bitcoin cannot be killed, stating that the token is here to stay.

Following these comments, the crypto community yesterday humorously suggested that the market could be heading for a slump, as Cramer has been widely known for predicting the inverse of market realities. 

Bitcoin Collapses with the Crypto Market

In an eerie turn of events, Bitcoin recently recorded a massive price slump. The premier crypto collapsed 10.43% from a high of $45,500 today to a low of $40,750. The last time BTC saw this low was on Dec. 18, 2023. Despite a quick comeback, BTC is still 6.71% down over the last 24 hours.

The Bitcoin collapse was not an isolated event, as the rest of the crypto market recorded similar drops. Solana (SOL) has dropped below the $100 mark, down 12.84% in the past 24 hours to $99.26. Ethereum (ETH) has slumped 7.22%. MATIC is down 13.1% and XRP has dropped 12% to $0.5550.

As a result of these massive drops, the global crypto market cap declined from $1.74 trillion three hours ago to $1.59 trillion, marking a loss of $150 billion in valuation over a mere three hours. 

Amid the market collapse, traders have observed a flood of liquidations, totaling a massive $637 million over the past 24 hours, with over 89% of them involving long positions. In addition, $540 million in liquidations, amounting to 84.7% of the 24-hour total, occurred over the past four hours.

Per data from Coinglass, Bitcoin accounts for most of these liquidations, totaling $122.96 million. Meanwhile, Ethereum has recorded $93.5 million in liquidations, while Solana and XRP has witnessed liquidations respectively amounting to $26.63 million and $15.47 million.