Bitcoin Tanked After Weekend Dip as Liquidations Hit $190M—Schiff Faces Backlash
Gold-bug and Bitcoin critic Peter Schiff posted on X on April 12 after Bitcoin (BTC) “tanking” during a weekend drop. Market data cited in the article shows BTC/USD on the Bitstamp 1-hour chart consolidated around $73,000–$73,600 most of Saturday, then printed a sharp red candle at about 01:00 on April 12. BTC fell quickly from roughly $73,098 to a wick low near $71,349. Since then, price has stabilized, but bulls failed to reclaim the $75,000 level.
The move triggered a broader liquidation event. Over the past 24 hours, 118,652 traders were liquidated across crypto markets, totaling about $189.85M. The article highlights long liquidations of $132.80M, suggesting leverage was heavy and long positions were caught off guard. A notable single order was a ~$4.00M BTC/USD liquidation on Bybit.
Traders should note that this type of BTC drawdown often comes with cascading liquidations, which can increase short-term volatility and create quick rebounds or continued downside if demand doesn’t step in near key levels like $71.3K and $75K. Meanwhile, Schiff’s public call appears to be more commentary than a catalyst, but it reflects the market’s sensitivity to sharp intraday moves.
Bearish
The news is bearish primarily because the described Bitcoin (BTC) selloff triggered large liquidation flows. When long liquidations (about $132.8M) dominate and price fails to reclaim a higher level ($75,000), it often signals that leveraged longs are still unwinding and overhead supply remains. That can pressure rallies in the short term.
In the short run, the $189.85M liquidation figure and the sharp one-hour candle suggest heightened volatility and “stop-and-go” price action: rebounds can happen after forced selling clears, but they’re vulnerable if new leverage builds or if price breaks back below $71.3K.
In the longer run, single-weekend dips tied to leverage cascades usually do not permanently change fundamentals. However, they can shift positioning and risk appetite—especially if traders interpret BTC’s move as a sign of weak demand at higher levels. Similar liquidation-driven drops in past cycles often produced quick mean reversion after the worst flush, followed by a direction test at major round-number levels (like $70K/$75K). The article’s immediate takeaway for traders is to treat BTC rallies as potentially corrective until it regains and holds $75,000 with stronger spot support.