Data shows that short-term holders of cryptocurrency have witnessed massive liquidation events over the past day due to the gathering of Bitcoin and other assets.
Despite the pessimism surrounding Bitcoin in the early decline phase, cryptocurrencies have no expectation not only to return to their previous all-time highest level (ATH), but also to smash it to set a new record at around $111,800.
Here is a chart showing what you have seen recently from assets.
The price of the coin has broken past the previous ATH of about $109,200 | Source: BTCUSDT on TradingView
BTC appears to be on the spike after reaching $103,000 earlier this month, but the coin cannot collect enough steam for the final push, causing it to fall into the lateral merger prey. Naturally, this has changed in recent days and the continuous momentum has finally emerged.
AltCoins has also seen its own rally recently, but in terms of weekly returns, the original digital assets have managed to outweigh most of the most important assets. For example, Ethereum rose about 3.5% during this period, less than half of BTC’s 8.5% return.
Cryptocurrency clearings over $500 million in the past 24 hours
According to Coinglass, the volatility caused by the first cryptocurrency means that over the past few days, a large number of locations on derivative exchanges have finally been found to liquidate. “Liquidation” here refers to a powerful closure that any open contract must pass when the loss exceeds a certain level (as defined by the specific platform for which the position is open).
Here is a table showing the relevant numbers related to the latest clearings in the cryptocurrency market:
Looks like shorts have taken the brunt of the hit | Source: CoinGlass
As mentioned above, the entire clearing rate for the cryptocurrency industry has reached $516 million in liquidation over the past 24 hours. Given the bullish price action, it is no surprise to see shorts make up 64% of the total liquidation volume ($334 million).
As for symbolic decomposition, as usual, Bitcoin and Ethereum have been the first two contributors to liquidation.
The heatmap related to cryptocurrency liquidations in the past day | Source: CoinGlass
Despite the recent massive liquidation, speculators still seem to be dissuading speculators, as Bitcoin’s open interests only continue to explode.
The data related to the BTC Open Interest | Source: CoinGlass
Featured images from dall-e, charts from coinglass.com, tradingview.com
Editing process For Bitcoin experts, focus on thorough research, accurate and impartial content. We adhere to strict procurement standards and each page is diligently evaluated by our top technical experts and experienced editorial team. This process ensures the integrity, relevance and value of our content to our readers.
