Markets
Cryptocurrency Market Rebounds, Triggering Short Liquidations of Over $56 Million
Cryptocurrency Market Rebounds, Triggering Over $56 Million in Short Liquidations
The cryptocurrency market saw a modest recovery on Tuesday, with nearly all tokens in the top 100 by market cap posting gains compared to the previous day. This upward trend, however, has led to significant liquidations of more than $87 million in the past 24 hours, including $56 million from short positions. second to CoinGlass.
Bitcoin (BTC) has gained 2.45% in the last 24 hours, trading at 61,983 dollars, while Ethereum (ETH) rose 1.88% to $3,403. Specifically, memecoins like Pepper (PEPPER) AND Dogwifhat (WIF) performed exceptionally well, with gains of 15.9% and 16.8% respectively.
While these gains are positive for the overall market, they have created problems for those who have taken short positions. Those with long positions also faced some setbacks, with about $30.9 million in long positions liquidated. The cryptocurrency market had been in decline for two weeks, with Bitcoin falling as low as $59,780 yesterday. Several factors have contributed to this downward pressure, such as the Germany sells off seized Bitcoins and the expected Bitcoin movements held by failed cryptocurrency exchange Mt. Gox.
Bitcoin and Ethereum have been particularly affected by recent liquidations, reaching over $360 million on June 24, when Bitcoin fell below $60,000 for the first time since early May. Amid these market movements, analysts are keeping an eye on “hoarding whales,” large investors who could take advantage of lower prices to accumulate more assets.