Bitcoin
Bitcoin, Ethereum Prices Plummet as Cryptocurrency Liquidations Approach $500 Million
As the prices of Bitcoin, Ethereum, and other cryptocurrencies remained in the red on Monday night, investors saw nearly half a billion dollars worth of positions liquidated within 24 hours. Of the US$489 million in liquidations, the vast majority – more than US$432 million – reached long positions, according to to aggregated crypto market data from CoinGlass.
Most of the day’s settlements occurred in the last 12 hours, as the Bitcoin price fell to $64,548 on Monday night and the ETH price fell to $3,384, leaving both down more than 5% over the previous seven days.
The numbers overnight continued a flurry of liquidations observed yesterday, vaporizing $290 million in mostly long positions.
Around 200,000 traders were liquidated in the last day, per CoinGlass. According to the site’s metrics, the largest liquidation order was on Binance, a $6.4 million long bet on Ethereum.
Ethereum led the overall liquidation flood, with $92.5 million in rekt positions in the last 24 hours at the time of writing, with CoinGlass showing Bitcoin with $72.8 million in liquidations and Dogecoin (DOGE) with US$60.3 million. Shiba Inu (SHIB) and Solana saw $22.9 and $19.8 million in settlements, respectively, in the same period.
Crypto volatility – even with enormous interest from institutional investors in the case of Bitcoin – often leads to forced liquidations as its fluctuating price defies holders’ expectations or hopes.
A rise in the price of Bitcoin and Ethereum led more than US$300 million in short position liquidations in May, for example, followed by a equally considerable increase for long positions a few weeks later.
Edited by Andrew Hayward
The views and opinions expressed by the author are for informational purposes only and do not constitute financial, investment or other advice.