Bitcoin has recently declined by nearly $6,000 within a few hours, dropping from above $91,000 to about $85,000 on Binance. This downturn resulted in more than $650 million in liquidated positions, marking a substantial 390% increase compared to the prior 24 hours.

Bitcoin Price Drop Source: TradingView

Furthermore, as previously noted by CryptoPotato, the market was on a slow recovery path before this drastic drop in prices. Numbers from CoinGecko indicate a total market valuation of $3 trillion, though CoinMarketCap shows it might have dipped below that figure recently.

Crypto Market Heatmap Source: Quantify Crypto

In the current scenario, multiple altcoins are experiencing steeper losses than Bitcoin, reinforcing the volatile nature of the cryptocurrency market. This development highlights the challenges faced by investors and traders alike.