Bitcoin, $1 Billion Liquidation Bomb...Ultimately 'Dropped' from World's Top 10 Assets

▲ Bitcoin (BTC), Amazon, Tesla, Meta Platforms/AI-generated image

Bitcoin (BTC) has been pushed out of the top 10 assets by global market capitalization amid a sell-off in the cryptocurrency market.

According to CoinGape, a cryptocurrency specialized media outlet, on May 28 (local time), Bitcoin fell to 13th place in the ranking of the world's largest assets after a broad market sell-off. Bitcoin's market capitalization was estimated at approximately $1.459 trillion, and its price dropped to $72,745 during intraday trading.

In the global asset rankings, gold maintained its top position with a market capitalization of approximately $31 trillion. Nvidia followed with $5.18 trillion, while Alphabet and Apple each ranked next with over $4.5 trillion. Silver also surpassed Bitcoin with a value of approximately $4.15 trillion.

Bitcoin also fell behind Microsoft, Amazon, TSMC, Broadcom, Saudi Aramco, Tesla, and Meta Platforms. Meta Platforms' market capitalization was approximately $1.6 trillion, and Tesla's was $1.64 trillion, both exceeding Bitcoin's market capitalization of $1.459 trillion. In the recent period of volatility, cryptocurrencies underperformed compared to other sectors, while semiconductor and AI-related stocks showed relative strength.

The decline in market capitalization rankings coincided with massive liquidations in the cryptocurrency market. According to Coinglass data, over $1 billion worth of positions across Bitcoin and major altcoins were liquidated in the past 24 hours, with over 165,000 traders experiencing liquidations. Bitcoin's drop to $72,745 intraday triggered approximately $365 million in liquidations, with Bitcoin long position losses totaling around $340 million.

In the overall market, $930 million in long positions and $69 million in short positions were liquidated. Coinglass stated that approximately $345 million in liquidations occurred within an hour amid rising geopolitical tensions in the Middle East. CoinGape reported that volatility in Bitcoin and the cryptocurrency market worsened after reports that Iran retaliated against a US attack on an Iranian missile launch facility, and US President Donald Trump rejected Iran's peace agreement proposal.

US inflation data also put pressure on risk assets. The US Personal Consumption Expenditures (PCE) price index for April rose 0.4% month-over-month, falling short of the forecast of 0.5%, but increased 3.8% year-over-year, marking the highest since August 2023. CME FedWatch data showed increased expectations for prolonged high interest rates, with traders pricing in a 100bp rate hike possibility by 2027.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*