Crypto Markets See $386M Liquidation Wave Amid Rate-Hike Fears

Crypto markets experienced significant volatility on September 9th, with Bitcoin rallying to $79,760 before shedding 2.49% in value to fall to $77,770.

The retracement saw BTC retest the local support zone at $77.9k, resulting in the highest 1-day liquidation numbers in nearly a week, with $269.96 million in longs and $116.62 million in short positions forcefully closed.

The spot Bitcoin ETF flows indicated a slowdown in demand, with a combined outflow of $166.8 million over the previous two trading days, according to Farside Investors' data.

Long-term holders have been taking profits, which could have contributed to the short-term correction, but the good news for bulls is that the $76k demand zone held, keeping hopes of a recovery alive.