Crypto Market Liquidations Top $875 Million, Bitcoin Price Falls 11%
Over 380,000 crypto market traders have been liquidated in the last 24 hours, resulting in over $875 million in closed positions. Both Bitcoin and Ethereum experienced double-digit drops.
The crypto market has been bleeding heavily in the last 24 hours. Global market capitalization fell by 6.8% to $950 billion. Over $875 million has been liquidated in the past 24 hours, as bitcoin falls 11% to around $18,400.
Bitcoin suffered the most in terms of liquidations, with traders losing approximately $233 million in BTC. Ether followed with $175 million in liquidations. The Solana and FTX tokens, both of which have been in the news recently, followed with $41.5 million and $28.4 million in liquidations.
The largest single liquidation took place on Binance, with BTC/USDT worth $6.7 million. Overall, over 380,000 traders saw their positions liquidated. Most of these liquidations took place on Binance, with $243 million.
Traders who have been hoping for a recovery in the market have been hit hard by the turnaround. Bitcoin and others had been looking good as the market heads towards the end of 2022, but there could be drama yet.
Crypto Liquidations Pile Up, Bull Market Cancelled?
Analysts are wondering what may have triggered the price drop, given that the market showed signs of recovery in recent weeks. It is true that many worrying developments have occurred in recent days, although it is unclear to what extent these have affected prices.
The biggest of these developments is the fact that Binance will buy FTX, which is rumored to have liquidity problems. After previously denying it, FTX CEO Sam Bankman-Fried said the exchange was facing a liquidity crisis. He said Binance’s acquisition would resolve the issue and protect customers.
The FTT token has crashed considerably since the news. Bankman-Fried thanked Binance CEO Changpeng Zhao and said FTX was in “the best hands.”
BTC and ETH both fell past support levels
The FTX token is down over 70% and may be one of the market’s biggest casualties – but bitcoin and ether are not unscathed either. Both of these have taken deep dives. Bitcoin fell past the $20,000 support level to reach a new long-term low of $17,100. Ethereum is also now significantly below the $1,500 support level and is trading at $1,300.
For a while, both BTC and ETH looked good to break past their respective resistance levels – at $22,500 and $1,550. Investors will now have to wait a little longer for that to happen as the market focuses on stabilizing.
Disclaimer
All information on our website is published in good faith and for general information purposes only. Any action the reader takes on the information contained on our website is strictly at their own risk.
