The recent crash in the crypto market has left traders in a state of panic, with Bitcoin and altcoins experiencing a significant drop in value. As Bitcoin continues to fall from one support level to another, the losses are piling up for traders. In just the last 24 hours, tens of thousands of traders have been liquidated, resulting in hundreds of millions of dollars in losses.
According to data from Coinglass, there has been a total of $292.8 million worth of crypto liquidations in the last day alone. A staggering 105,458 traders have been liquidated, with a majority of them being long traders. The recent crash, which saw Bitcoin drop from $61,000 to $57,000, resulted in $204.97 million in liquidations. The largest liquidation event occurred on the Huobi crypto exchange, where a single liquidation call led to a loss of $10.49 million.
Exchange Liquidations
Major exchanges such as Binance, OKX, and Huobi recorded significant amounts of liquidations during the crash. Binance, the world’s largest crypto exchange, saw $122.67 million in liquidations, while OKX and Huobi recorded $89.83 million and $42.07 million, respectively. Other exchanges, such as Bybit and CoinEx, also experienced substantial liquidations at $23.04 million and $9.42 million, respectively.
Shift in Market Dynamics
The recent liquidations have been predominantly dominated by long trades, as the market continues to witness a downward trend. However, with Bitcoin showing signs of recovery and trading above $57,900 at the time of writing, short traders may soon face challenges. Coinglass data indicates a decrease in long liquidations from 88.61% in the last 24 hours to 56.48% in the last hour. If the price continues to rise, short traders could be at risk of further losses as the market sentiment shifts.
Despite the negative sentiment following the market crash, Bitcoin’s daily trading volume has surged by 50%, reaching $37.59 billion. Bulls are now attempting to build support levels to sustain the recovery. Currently, Bitcoin is trading at $57,909, reflecting a 3.87% decline in the last day. On a weekly and monthly basis, Bitcoin is down by 5.23% and 15.95%, respectively.
The recent crypto market crash has had a significant impact on traders and exchanges, leading to massive liquidations and losses. As the market dynamics continue to evolve, traders must remain vigilant and adapt their strategies to navigate the volatile market conditions.
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