Cryptocurrency markets experienced a wave of turbulence over the past 24 hours, leading to liquidations surpassing $520 million as Bitcoin and Ether faced sharp price swings.
Massive Liquidations Across Exchanges
Data from Coinglass revealed that approximately 186,000 traders were liquidated, with total liquidations across centralized exchanges amounting to $524.8 million.
Bitcoin (BTC) led the liquidations, with over $142.5 million in positions closed, including $101 million in long positions. Ether (ETH) also saw significant liquidations, totaling $89.9 million, with $49.2 million coming from long positions.
Liquidations occur when traders’ positions are forcibly closed due to insufficient margin to cover losses during high market volatility.
Market Movements
Bitcoin dropped 2.26% in the last 24 hours, trading at $92,500 at the time of writing. This follows a brief surge earlier in the week, where BTC crossed the $100,000 mark, driven by optimism around the pro-crypto policies expected under the incoming administration.
Ether declined by 0.85% to $3,335, extending its losses after a double-digit drop the previous day. The Block’s GMCI 30 index, tracking the top 30 cryptocurrencies, fell by 1.23%.
Broader Market Impact
The volatility comes amid heightened market activity and investor sentiment. Analysts suggest that recent macroeconomic developments and regulatory anticipation may be contributing to the fluctuations.
Market watchers will continue to monitor the effects of increased volatility, with traders urged to exercise caution amid uncertain conditions.
