Liquidations Surpass $300 Million As Bitcoin Touches 40-Day Lows


Cryptocurrency liquidations escalated over the weekend. The market recorded a number of dips that saw more than $80 billion shave off the cryptocurrency market. This meant that Bitcoin dropped to $38,000 and took the rest of the market with it. However, contrary to expectations that the digital asset will score the most liquidations, this title has been claimed by the second largest cryptocurrency, Ethereum.

Bitcoin, Ethereum Lead

Bitcoin liquidations were undoubtedly one of the loudest liquidations in the space. Being the largest digital asset in the crypto market, bitcoin traders usually bear the brunt of it whenever there is a significant liquidation effect. But this time, it took second place after the liquidation of Ethereum as the price of the cryptocurrency fell to $2,800.

Bitcoin price chart from TradingView.com

BTC declines to $38,000 | Source: BTCUSD on TradingView.com

In the past 24 hours, bitcoin has seen a total of $72 million in liquidations. The interesting fact about this is the fact that the majority of the liquidations took place in the last 12 hours only as at the time of writing. More than $48 million has been liquidated at the time of this report’s publication. Long traders also made up the majority of this as the price of the digital asset was declining. However, there have been some brief liquidations sprinkled here and there for bitcoin.

Ethereum liquidations followed the same pattern for the majority of liquidations that occurred in the past 12 hours. The second largest cryptocurrency by market capitalization has seen liquidations of nearly $80 million in the past 24 hours, with $65 million of that liquidation occurring in the past 12 hours alone.

Related reading | TA: Ethereum is clearly at risk of further losses below $2800

Digital assets topped the cryptocurrency with the highest number of liquidations with long-term traders taking the most hits. On the four-hour chart, Ethereum is doing better with Bitcoin taking the lead with $6.24 million in liquidation. ApeCoin comes in second place with $5.46 million in liquidations. This turned out to be mostly short liquidations as the beloved BAYC token recovered above $17 once again.

Cryptocurrency filtering

Total market liquidations surpass $300 million | Source: Coinglass

In total, the crypto market recorded over $300 million in liquidations in the last 24 hours. The 12-hour chart makes up over 60% of that volume with $234 million liquidated in this time period.

Related reading | Bitcoin struggles to breach the $40,000 level, down 4% in the last 24 hours

Another digital asset that has taken a big hit is LUNA, which has posted liquidations of $1.1 million in the past four hours. Meme coin Dogecoin exited to $418.84K and liquidated on the 4-hour chart.

Featured image from Coindesk, chart from TradingView.com



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