Crypto Traders Bleed Heavily
The past week has been an eventful week for crypto traders, regardless of whether they made a profit or loss in the market. Over the weekend, the crypto market had a dramatic weekend, and as another trading week kicks in, short traders have once again pulled the ‘short’ stick.
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Losses reach $180 million
the past day, losses have accumulated in the market as the recovery trend continues. It had first started towards the end of last week, when bitcoin had made a remarkable recovery above $20,000, pulling the rest of the crypto market with it. Short traders started bleeding immediately after, but it seems that this would not be the end of their woes.
The weekend would prove even more favorable for long traders if bitcoin had made its way into the $22,000 mid-range. In the wake of this, liquidations in the crypto market had increased, causing losses to tens of thousands of traders.
Liquidation volumes had climbed to $180 million in the 24-hour period as short traders suffered the most. In the past 4 hours alone, market liquidations have crossed $25 million, most of which are short traders (73.29%).
Market cap recovers above $1 trillion | Source: Crypto Total Market Cap on TradingView.com
A total of 48,510 traders were registered at the time. The largest single liquidation event for the period occurred on the Okex exchange over the BTC-USDT-SWAP pair. A total of $3.41 million was liquidated in this single transaction.
Bitcoin leads crypto losses
Given bitcoin’s recovery in recent days, it’s no surprise that the digital asset has seen more liquidations. While the total liquidation of the crypto market passed $180 million, bitcoin accounted for about 40% of that, with a volume of $80 million.
Interestingly, the majority of liquidations were recorded in the past 12 hours alone, where bitcoin had seen liquidations at $66.24 million and the broader crypto market at $120 million. 62.15% of this came from short traders.
Other digital assets that have seen notable liquidations in the past day include Ethereum at $49.51 million, Ethereum Classic at $7.12 million, LUNA at $5.64 million and Solana at $4.11 million. APE, NEAR and CEL saw $2.06 million, $1.996 million and $1.92 million, respectively.
The price of Bitcoin seems to have found a point to settle above $22,000, which has put an end to the liquidations. However, if there are any more wild moves, there will likely be higher liquidation volumes from here.
Featured image from Cryptimi, chart from TradingView.com