The liquidations jumped above $1 billion across all crypto exchanges as BTC and the rest of the market plunged hard.
The enhanced volatility in the cryptocurrency market continues to cause pain to leveraged traders with over $1 billion in liquidations in the past 24 hours. The latest price slump came after consecutive days of sideways trading for bitcoin and most of the altcoins.
The crypto market is well-known for its high fluctuation levels with double-digit price movements in either direction. Interestingly, the past several days were just the opposite as bitcoin stood somewhat stagnant in a range between $35,500 and $37,000.
However, the primary cryptocurrency is not used to stay still for too long, and the bears took advantage in the past 24 hours.
BTC traded just shy of $37,000 before it suddenly dumped by $3,000. While that was a substantial drop of its own, the situation worsened minutes later, and bitcoin lost another $1,500 of value.
As it typically happens when BTC makes a move, the alternative coins followed suit with even more vigorous losses.
Double-digit price dumps were evident across the entire altcoins space. Ultimately, the cumulative market capitalization of all crypto assets saw more than $200 billion evaporated in a day.
Naturally, these developments have caused pain for leveraged traders. According to Bybt, the total liquidations in the past 24 hours are more than $1 billion.
Somewhat expectedly, the majority (over 90%) came from long positions. A single liquidation stands out that occurred on Bybit. It involved the second-largest cryptocurrency by market cap – ether – and was worth $7 million.