Over the past 24 hours, the crypto market experienced liquidations totaling over $590 million, affecting 194,284 traders, as reported by Coinglass. The largest single liquidation order, valued at $15.56 million, took place on OKX’s BTC-USDT-SWAP.
Long positions took a significant hit, accounting for approximately $343.67 million of the total liquidations, while short positions made up $249.48 million. Bitcoin led the liquidations with $122.77 million, followed by Ethereum with $88.33 million.
Interestingly, only $36 million of the liquidated short positions were in Bitcoin-related contracts, indicating that the majority of long liquidations impacted altcoins. Ethereum, Doge, XRP, BNB, WIF, TIA, ADA, and other altcoins witnessed the majority of liquidations in long contracts. On the other hand, Bitcoin and Solana saw most of the liquidations in shorts.
Among exchanges, Binance recorded the highest liquidations at $235.04 million, with 62.24% coming from long positions. OKX and Bybit followed closely behind, with $169.48 million and $123.41 million in liquidations, respectively.
These liquidations coincided with Bitcoin’s price increase of 3.64% over the past 24 hours, reaching $82,522.45. Ethereum also saw a rise of 0.50%, hitting $3,181.01.
Analysts suggest that traders might have been overly optimistic during the bullish trend, leading to an imbalance in long positions. Despite Bitcoin setting 12 new all-time highs in the last 7 days, it also experienced several drops of around 3%. This data underscores the potential over-eagerness of traders who may have underestimated the inherent volatility in the crypto market, highlighting the risks associated with leveraged trading.
As traders navigate the crypto market, it is crucial to exercise caution and be mindful of the market dynamics to make informed decisions and mitigate potential losses. Stay tuned for further updates and insights as the market continues to evolve.