Bitcoin (BTC) saw volatility on Dec. 26 as markets appeared to react to false TradingView chart data.
BTC/USD 1-hour chart. Source: Cointelegraph/TradingView
Apparent market error costs BTC longs
Data from Cointelegraph Markets Pro recorded snap BTC price losses of around 4%, ending cool Christmas trading conditions.
Bitcoin fell toward $95,000 as social media users reported an anomaly on TradingView’s Bitcoin dominance chart. This showed Bitcoin’s share of the overall crypto market cap collapsing to 0%.
Source: Crypto Devil
The error, since fixed, was allegedly behind knee-jerk trading reactions, which forced BTC/USD lower.
“So there was a Tradingview glitch surrounding $BTC dominance and this caused people to panic dump? People now dumping over Tradingview?” popular trader Satoshi Flipper wrote in part of a response on X.
Data from monitoring resource CoinGlass showed around $33 million of BTC longs liquidated over the four hours to the time of writing.
BTC total liquidations (screenshot). Source: CoinGlass
Bitcoin market dominance has formed an increasingly pertinent topic for traders in recent weeks as new all-time highs leave altcoins struggling to follow suit.
Dominance briefly passed 61.5% in mid-November before reversing, leading to hopes that “altseason” would follow.
“BTC Dominance reached 2021 breakdown level and rejected,” trading account Aqua summarized in its latest analysis on X.
“I think BTC Dominance peaked and ALTs will start outperforming $BTC in the coming months. Finally we will see true ALTs season soon.”
Bitcoin dominance 1-week chart. Source: Aqua/X
Trader, analyst and entrepreneur Michaël van de Poppe meanwhile compared altcoins’ potential to the Dotcom bubble of the early 2000s.
“The Altcoin valuation are still substantially low. The total market capitalization is barely $1.5T. The http://Dot.com bubble was $10-15T,” he argued in a Christmas Day post.
“That’s a valid valuation for peak numbers in the coming years, through which it’s not strange to expect 20-50x in 2025.”
Bitcoin tipped for “big move” in Q1 2025
Market participants broadly remained confident on the short-term outlook despite the volatility event.
Related: Bitcoin bull market over? ‘Decembear’ has only sent BTC price 2% lower
Popular Bitcoin and crypto investor Eljaboom was among them, calling for BTC price upside to continue after the new year.
“$BTC is preparing itself for the next leg up,” he told X followers alongside a print of the 2-week chart.
“IMO, some consolation followed by a big move in Q1!”
BTC/USD 2-week chart. Source: Elja/X
Fellow account Xoom eyed bullish signals on 1-day timeframes.
“The chart just printed a bullish engulfing candle with rising volume, right off the lows in a megaphone pattern. This kind of action usually signals a breakout is on the way,” part of an accompanying X post stated.
“If this plays out, the measured move from this megaphone could take us to the $110k–$130k range by the end of January, with $120k looking like a realistic target. Consolidation here is bullish.”
BTC/USD 1-day chart. Source: Xoom/X
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
