The rise of cryptocurrencies in recent years has positioned Bitcoin as a leading digital asset. However, the past 24 hours saw extreme volatility in the crypto market, resulting in a staggering $1.7 billion** liquidation (approximately NT$55.2 billion). More than 580,000 traders** faced margin calls, surpassing the scale of the 2020 "312 Crash."
Market Turmoil: Triggers and Immediate Impact
Bitcoin's price surged past $100,000** (NT$3.25 million) amid rumors of Trump-affiliated companies acquiring crypto platform Bakkt, signaling potential policy shifts. Yet, by December 10 (UTC+8), it abruptly dropped to $94,000** (NT$3.05 million), triggering a domino effect across cryptocurrencies.
Key Catalysts:
Quantum Computing Breakthrough
- Google's "Willow" quantum chip claims to solve tasks in 5 minutes that would take supercomputers 1 billion years.
- While experts note current quantum tech (105 qubits) is far from threatening Bitcoin's encryption (requiring ~13 million qubits), the announcement stirred market anxiety.
Bhutan’s Large-Scale Bitcoin Moves
- Bhutan’s government transferred 406 BTC to Singapore’s QCP Capital and moved **$19 million** (NT$610 million) to Binance.
- The nation holds 11,688 BTC, ranking among the top five government-owned reserves globally.
👉 How to safeguard your crypto investments during volatility
FAQ: Navigating the Bitcoin Crash
Q: How does quantum computing affect Bitcoin?
A: Current quantum technology poses no immediate risk. Bitcoin’s encryption would require exponentially more advanced systems to break.
Q: Why did Bhutan’s Bitcoin sales impact the market?
A: Large institutional transactions can cause price fluctuations due to concentrated sell-offs.
Q: Is this crash worse than 2020’s "312 Event"?
A: Yes—this liquidation volume ($1.7B) and affected accounts (580K+) exceed the 2020 crisis.
👉 Explore real-time crypto market strategies
Long-Term Outlook
Despite short-term volatility, Bitcoin’s fundamentals remain robust. Investors should:
- Monitor government-held reserves (e.g., Bhutan, El Salvador).
- Stay informed on quantum computing developments.
- Diversify portfolios to mitigate liquidation risks.
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