The effects of the prolonged liquidation that rocked Bitcoin after the digital asset plunged to $25,000 are still being felt. Bitcoin, which has since managed to recover above $30,000 again, remains a major liquidation target in the market. So far, a week after the crash saw its biggest liquidation event in six, long traders are still trading the markets.
Bitcoin Liquidations Reaches $61 Million
The long Bitcoin liquidations may have slowed down but they are not over yet. Over the past 24 hours, the market has seen over 61 traders liquidated, resulting in over $257 million in liquidation in the last 24 hours. Of course, bitcoin liquidations make up a large part of this, and traders have long been the hardest hit in the market.
Bitcoin liquidations reached over $61 million on Friday after a very tough day of trading on Thursday. Most of these were executed in the middle of the afternoon to early evening Thursday, with traders liquidating more than $30 million. This was a result of Bitcoin dropping below $30,000, a level it would eventually recover in the early hours of Friday.
Indicators have turned bullish for the digital asset after this recovery. Although long-term traders saw the biggest losses over the 24-hour period, they are starting to turn in their favour as short traders start taking more heat as time goes on.
BTC recovers above $30,000 | Source: BTCUSD on TradingView.com
Cryptocurrency market is still red
Liquidations across other cryptocurrencies such as Ethereum were also significant in this same 24-hour period, although not to the same extent as Bitcoin. In total, there were $29 million in Ethereum liquidations in the past 24 hours and $7.16 million on the 12-hour chart.
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The broader cryptocurrency market liquidation has reached $258 million at the time of writing. information from Coinglass It shows that 73.55% of this figure is made up of long qualifiers. 40.28% of this liquidation came from the crypto exchange Binance, where the percentage of long liquidations was similar. On Okex, 81.54% were long liquidations and made up the majority across various exchanges as well.
Other digital assets that have seen major liquidations including GMT, SOL and APE are all driven by the recent downtrend. Bitcoin recovers above $30,000, ETH is back above $2000, which facilitates change. The recent liquidations on the 4 hour chart consisted of short trades as sentiment started to turn positive among investors.
Featured image from The Indian Express, chart from TradingView.com
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