On Tuesday morning, the price of Bitcoin briefly surged above $69,000, setting a new all-time high. However, as profit-taking soon kicked in, Bitcoin's price plummeted by more than $6,000 in a matter of hours, falling below $63,000. Within 24 hours, the price had dropped by over 6%.

At of press time, Bitcoin is trading at $63,310, down 7.23%.

It is worth noting that the sharp drop occurred immediately after Bitcoin reached its new high. In the past 24 hours, more than 300,000 people have been liquidated, with a total liquidation amount of $1.13 billion (approximately 81.3 billion yuan).

According to the STCN, Bitcoin's upcoming "halving" in April is a major factor driving its recent surge. The halving is a process that reduces the block reward for miners by half, and it occurs approximately every four years. This will reduce the supply of Bitcoin, and it is expected to take place on April 23, 2024, when the block reward will be reduced from 6.25 BTC to 3.125 BTC.

Historically, this event has been bullish for Bitcoin's price. In anticipation of the reduced supply, traders have been flocking to the Bitcoin market in the hopes of profiting from the price increase. However, the key factor that triggered the recent rally was the launch of Bitcoin ETFs in January of this year. On January 11, 2024, the U.S. Securities and Exchange Commission (SEC) approved 11 Bitcoin spot ETFs, including those from institutions such as BlackRock.