Markets
Cryptocurrency Market Sees $290 Million in Daily Liquidations

Over the past 24 hours, more than 75,500 cryptocurrency traders have liquidated their investments as prices of major digital assets have recovered.
Over $260 million in long positions have been liquidated in cryptocurrency markets.
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Published on July 25, 2024 at 5:47 AM EST.
Wednesday’s sell-off on Wall Street extended to the cryptocurrency market, where the sector’s market capitalization fell 3.6% to $2.3 trillion.
At the time of writing, Bitcoin was trading at $64,260, down 2.5% over the past 24 hours. Ether saw a steeper decline to $3,177, down nearly 8% over the same period.
The negative price action led to large-scale liquidations, especially for traders who were betting on higher prices for the two major digital assets. Data from Coin glass shows that cryptocurrency traders have seen $290 million worth of liquidations in the past day, of which over $260 million was liquidated by long traders.
Ether liquidations surpassed $102 million, while Bitcoin liquidations surpassed $81 million. In total, over 75,500 traders saw their positions liquidated, with the largest single liquidation order taking place on a BTC/USDT pair on Binance worth $11.78 million.
The sell-off comes as bitcoin has recovered from weeks of volatility, triggered by the German government’s bitcoin sell-off and Mt. Gox starting to make distributions to creditors. As bitcoin’s price reclaimed the $68,000 mark earlier this week, most short-term bitcoin holders have returned to profitability.
“The recent price surge has also been a welcome relief for short-term bitcoin holders (STH), a proxy for new demand and recent buyers. This cohort saw over 90% of their supply go into losses at the end of July, putting them in a financially stressful position,” She said Glassnode analysts in their latest weekly newsletter.