Bitcoin dropped to $36K, resulting in $400 million in liquidations in under 24 hours

Bitcoin's freefall has continued, with the value crashing to a new three-week low. Most altcoins are hit considerably more.

Over-leveraged investors suffered large losses as a result of the recent increased volatility in the bitcoin market, with liquidations topping $400 million on a 24-hour scale. This comes after BTC dropped by nearly $3,000 in a single day.

It's safe to say that the cryptocurrency landscape has seen better days, since the total market cap has shrunk by $400 billion in less than a week.

Bitcoin's condition has only gotten worse since yesterday, as the labels "crypto winter" and "bear market" continue to circulate within the community.

The asset had already dropped below the targeted $40,000 barrier, to $38,000, before a sharp and temporary price increase pushed it up by a grand.

However, the rally was short-lived, and BTC plummeted once more, this time to just over $36,000, its lowest level since February 3rd.

Altcoins have lost even more value. XRP, ADA, DOGE, SOL, SHIB, and many other cryptocurrencies have had double-digit price declines.

Ethereum (ETH) and Binance (BNB) are among the few cryptocurrencies whose price drops are still in the single digits, although both are still in the red.

Liquidations and the number of liquidated traders have increased dramatically as a result of the increased volatility.

Since yesterday, more than 120,000 dealers have liquidated for a total of $400 million, according to Coinglass. The single largest order, costing slightly under $4 million, was placed on OKEx.