Bitcoin Slumps Amid Seoul Selloff, $600M in Leveraged Positions Wiped Out

Bitcoin's price dropped by around 2.8% in the past 24 hours to reach $63,408, according to various sources. The intraday range was quite wide, ranging from $63,055 to $65,546.

The break of $64,000 has been a recurring theme since July 24, with each occurrence resulting in a liquidation cascade. This time around, the setup into Tuesday looked constructive after Monday's pause in US-Iran hostilities sent risk assets higher and lifted Bitcoin above $65,000.

However, selling began after US markets closed on Monday and accelerated as Seoul opened, with the Kospi falling 10.84% to trigger a market-wide circuit breaker. Bitcoin followed suit, dropping 9.6%

The derivatives data reveals that over $600 million in leveraged positions were liquidated across the crypto market, with 87.88% of those being longs. This suggests that the market is unwinding a positioning skew that had built up during Monday's relief rally.