There are no boring days in crypto. That’s panning out to be more accurate than ever over the past couple of weeks. In the past few hours, Bitcoin’s price, as well as that of many altcoins, went on a rollercoaster, yet again, resulting in massive liquidation volumes across the board.
Data reveals that over the past hour alone, almost $400 million worth of both long and short positions were liquidated on major exchanges.This happened as bitcoin’s price tanked from a high of about $37,700 down to $34,380, losing a little over $3,000 in the process and recovering to its current trading price of $36,000.Out of this, longs accounted for 86.5%, clocking the number at $343 million. Naturally, the prevailing number of liquidations came from the bitcoin market.
Liquidation Data. Source: Bybt
Leading the way in liquidation volumes is Binance, followed by Huobi, and then Bybit.It appears that the increase before the sudden drop might have been a bull trap, as the liquidations in the past 24 hours are also heavily in favor of the bears.Over the last day, we saw over $1 billion worth of liquidations, 85% of which were on long positions.In total, over 108,770 traders were liquidated in the past 24 hours.This goes to show two things. First, the market is particularly volatile over the past few weeks and even though the longer-term seems in favor of the bulls, that doesn’t guarantee that the price won’t retrace. Second, the current state of the market is heavily over-leveraged, which is evident from the massive number of liquidations.Title: Rollercoaster: $340M Long Positions Liquidated as Bitcoin Price Crashed $3000 In Hours
Sourced From: cryptopotato.com/rollercoaster-340m-long-positions-liquidated-as-bitcoin-price-crashed-3000-in-hours/
Published Date: Fri, 15 Jan 2021 15:00:57 +0000