Ever been on a rollercoaster that just doesn’t seem to end? Well, the crypto world just had one of those days, and boy, was it a ride!
So, what went down? In a jaw-dropping 24 hours, crypto traders faced a whopping $1.04 billion in liquidations. Yep, you read that right. A billion! And all thanks to the market’s wild mood swings. This info comes straight from the data gurus at CoinGlass.
Now, let’s break it down a bit. Bitcoin, the big daddy of crypto, took us on a wild journey. Imagine this: it took a nosedive from $27,600, touched the depths at $25,600, and then, like a phoenix, soared back to $26,500. All this action in just a few hours! And guess who felt the heat the most? The traders who were betting on Bitcoin to rise. Out of that massive $1.04 billion that vanished into thin air, $836 million were from traders who were optimistic (or should I say, too optimistic?), while the remaining $205 million were from those betting against the tide.
Now, here’s where it gets juicy. OKX, a major crypto exchange, recorded the highest liquidations during this chaos. A mind-boggling $308 million in long positions got wiped out in just a day. Close on its heels was Binance, where bullish traders lost a cool $189 million. Ouch!
But wait, there’s more! The DeFi (Decentralized Finance) sector wasn’t spared either. The sudden crypto price drop led to over $75 million in liquidations. And that’s a record for this year! With ether’s price dropping below $1,600, nearly $270 million in collateral across the DeFi world is now dancing on the edge. If ether’s price slips below $1,500, well… let’s just say a lot of traders will be biting their nails.
To give you some perspective, the last time we saw such massive liquidations in the Ethereum lending market was back in November 2022, when nearly $100 million went poof!.
So, what’s the takeaway? The crypto world is unpredictable, thrilling, and not for the faint-hearted. Always buckle up, folks!
