Digital Currency Group founder Barry Silbert appears to be unfazed by the brutal wipeout. He labeled the crash a “gift from the crypto gods.” On Jan. 31, retail traders reeled from an excruciating market correction that wiped out over $2 billion in positions. For the first time since October 2023, the spot price of Bitcoin has fallen below MicroStrategy’s cost basis.
On the Bitstamp exchange, BTC reached an intraday low of $75,555, the lowest level since early April’s tariff shock in the U.S. Saylor’s firm has an average cost basis of $76,037, and Bitcoin is trading in the $77,000-$78,000 range, nearly evaporating that margin of safety for the largest corporate holder. Dogecoin futures volume surged by 10,782%, and in a social media post Silbert stated that he is built for the long run, sharing an AI-generated picture of himself participating in a marathon. Bitcoin, which had been trading near a 24-hour high of $83,125.88, fell 5.2% to around $78,727, with a session low of $77,082.
According to market data provided by CoinGlass, a staggering $2.44 billion was erased from the market. Of the total liquidations, $2.27 billion came from long positions, compared to just $171.09 million in short liquidations. The market turbulence on Jan. 31 was extremely severe, and it has likely tested the faith of even the most ardent bulls.
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