Bitcoin experienced a significant drop in price recently, leading to a spike in liquidations among traders who had purchased BTC in the past month. Long positions were hit the hardest, with over $156 million in liquidations, while short positions saw around $21 million in liquidations. Despite a slight recovery in Bitcoin's price, short positions continued to experience more liquidations compared to long positions. The Relative Strength Index signaled a strong bearish trend, and the 30-day Market Value to Realized Value ratio remained negative, indicating that current holders were still facing losses on their investments. This negative value suggests that BTC may be undervalued and that holders bought at higher prices than the current market is willing to pay. The article cautions that a bearish sentiment may persist in the market for Bitcoin.