Liquidations occur when the price moves against a trader's leveraged position and the exchange forcibly closes it at a loss due to a lack of collateral. For example, if a trader opened a long position of $1000 with 10x leverage, actually using $100 of their own funds and borrowing the remaining $900 from the exchange, a 10% drop in the price of Bitcoin would reduce the position's value to $900. The exchange automatically liquidates the trade to recover the borrowed funds, and the trader loses all their capital if they did not have additional funds to maintain the position.
Read more on RBC:
https://www.rbc.ru/crypto/news/681b06019a7947f79a4c3ea2?from=copy
The Fear and Greed Index in the cryptocurrency market has been in the greed zone for two consecutive days, rising from 59 to 67 points out of 100 in a day. This indicates that market participants are increasingly leaning towards buying cryptocurrencies.
Earlier this week, Bitwise's Chief Investment Officer Matt Hougan stated that the crypto industry may face a "difficult summer" if the U.S. Congress does not pass at least one of the laws related to cryptocurrency market regulation. According to Hougan, delaying the adoption of laws could jeopardize the entire momentum gained by cryptocurrencies after Donald Trump was elected President of the United States.
Read more on RBC:
https://www.rbc.ru/crypto/news/681b06019a7947f79a4c3ea2?from=copy$BTC