The recent crash in the crypto market has led to a state of panic among investors, with Bitcoin and altcoins taking a hit. As the Bitcoin price continues to plummet, thousands of traders have found themselves in a difficult position, resulting in losses totaling hundreds of millions of dollars in just one day. In the past 24 hours, Bitcoin has dropped below $57,000 before attempting to recover. However, the damage has already been done, especially for long traders who have borne the brunt of the losses.
Liquidations and Exchange Data
According to data from Coinglass, there have been $292.8 million worth of crypto liquidations in the last day alone. A total of 105,458 traders have been liquidated, with the majority (88.61%) of them being long traders. The most significant liquidations occurred in the last 12 hours when Bitcoin fell from $61,000 to $57,000, resulting in $204.97 million in liquidations. Notably, Bitcoin alone saw $91.7 million in liquidations, with Ethereum following closely behind with $69.86 million in liquidations.
The largest liquidation event took place on the Huobi crypto exchange, where a single liquidation call saw $10.49 million lost. Other major exchanges such as Binance, OKX, and Bybit also recorded significant liquidations, totaling millions of dollars in losses. Long trades dominated the liquidations due to the continued crash in Bitcoin’s price. However, as the price shows signs of bouncing back, short traders are beginning to feel the pressure.
Coinglass data indicates that long liquidations have decreased from 88.61% in the last 24 hours to 56.48% in the last hour. If the price of Bitcoin continues to rise, short traders might face further challenges as they navigate the bearish wave. Despite the erosion of positive sentiment, the daily trading volume of Bitcoin has seen a significant 50% increase, reaching $37.59 billion. This increase suggests that bulls are attempting to establish support levels to facilitate a recovery.
Current Status of Bitcoin
At the time of writing, Bitcoin is trading at $57,909, reflecting a 3.87% decline in the last day. On a weekly basis, Bitcoin is down by 5.23%, and on a monthly basis, it has experienced a 15.95% decrease. The volatility in the market, coupled with the high number of liquidations, indicates a challenging time for traders and investors alike.
The recent crash in the crypto market has caused significant turmoil and losses for traders. The dominance of long liquidations highlights the impact of Bitcoin’s price plunge, while the shift in market dynamics suggests that short traders may face challenges ahead. As the market attempts to stabilize and recover, it is essential for investors to remain cautious and attentive to any potential fluctuations in the coming days.