Even today, bitcoin continues to feel the consequences of long-running liquidations after its value plummeted to $25,000 Bitcoin remains the primary liquidation target, despite having recovered above $30,000 since its initial crash. The market is still being monitored by long traders, even after it recorded its sixth largest liquidation event in six weeks.
Blockchain Liquidations Reach $61 Million
While Bitcoin liquidations for long periods of time may be slowing, it is not the end. Over 61 traders have been liquidated within the last 24hrs, bringing the total liquidations to $257 million in 24 hours. The largest portion of liquidations in bitcoin is made up by long traders, who have suffered the most severe losses.
Exchange Inflows Rock Bitcoin, Ethereum As Market Struggles To Recover| Exchange Inflows Rock Bitcoin, Ethereum As Market Struggles To Recover
Following a brutal trading day on Thursday, Bitcoin liquidations reached $61 Million on Friday. Most of the liquidations took place between mid-afternoon and early evening on Thursday, when traders had already sold more than $30 millions. It was due to bitcoin dropping below $30,000, which will eventually be regained in the early hours Friday.
Following the recovery, indicator sentiment had changed to be bullish about digital assets. Although long traders experienced the largest losses during the 24-hour period of time, things were beginning to change for them as shorter traders took more of the heat.
BTC rises to $30,000| Source: BTCUSD on TradingView.com
Crypto Market still red
Other cryptocurrencies like Ethereum have also seen significant liquidations in the 24-hours. However, they were not as large as bitcoin. There have been $19.16 million of liquidations in Ethereum over the 24-hour period and $29 million for the 12-hour charts.
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As of writing, the total value of crypto market liquidations was $258 million. Coinglass data indicates that 73.55% is made up long liquidations. 40.2% of the liquidations come from Binance crypto exchange, where liquidations of similar size were also common. Okex has 81.54% from long liquidations, which is also the largest number across all exchanges.
The recent downtrend is also affecting other digital assets like GMT, SOL and APE. Bitcoin recovered more than $30,000 while ETH has risen to $2,000 and is assisting a positive change. Shorts are the reason that investors have begun to see a positive change in sentiment since liquidations of the last four hours were made.
Featured Image from The Indian Express chart by TradingView.com
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