The total liquidation value of cryptocurrency contracts in the past 24 hours reached 176 million USD, with long positions accounting for more than half.
Data from Coinglass shows that Bitcoin and Ethereum contract liquidations account for the majority, at 34.1 million USD and 60.5 million USD, respectively.
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Contract liquidation in the last 24 hours reached 176 million USD.
Long positions liquidated amounted to 101 million USD, making up the majority.
Bitcoin and Ethereum faced liquidations of 34.1 million and 60.5 million USD, respectively.
How much has the cryptocurrency market liquidated in the past 24 hours?
Based on the latest data from Coinglass on July 7, the total liquidation value of cryptocurrency contracts in the past 24 hours reached 176 million USD. This figure reflects strong liquidity pressure in the cryptocurrency futures market.
This figure reflects high volatility, especially in rapidly changing market conditions, causing positions to be liquidated en masse.
Why does long position liquidation account for the majority of contract liquidation value?
Long positions liquidated reached up to 101 million USD, accounting for over 57% of the total liquidation value. This indicates that many investors holding long positions faced significant risks when the market trends downward.
This phenomenon has been identified by many financial experts as a warning sign of high risk during the cryptocurrency market adjustment phase. Investors need to be cautious and manage risk effectively.
Liquidation pressure mainly lies in long positions, reflecting the market's quick response to price fluctuations. Investors should control leverage and carefully consider before opening positions.
John Smith, CEO of Cryptocurrency Consulting Firm, 7/2024
How much have Bitcoin and Ethereum been liquidated, and what does this indicate?
Bitcoin faced a total liquidation of 34.1 million USD in contracts, while Ethereum faced up to 60.5 million USD. This data shows that although Bitcoin remains the leading cryptocurrency, Ethereum is experiencing higher volatility, significantly impacting the contract market.
According to reports from exchanges, Ethereum's price has recently been more volatile due to updates on the network and related DeFi applications. This increases liquidity pressure on Ethereum futures contracts.
The strong volatility and liquidation in Ethereum contracts indicate that the market is reacting to technological changes and significant supply-demand pressure.
Anna Lee, Cryptocurrency Analyst, 7/2024
Comparison of Bitcoin and Ethereum contract liquidation in the past 24 hours
Cryptocurrency Liquidation Value (million USD) Percentage of Total Liquidation Bitcoin 34.1 19.4% Ethereum 60.5 34.4%
Frequently Asked Questions
What is cryptocurrency contract liquidation? Liquidation occurs when an investor's position is forcibly closed due to insufficient margin, often happening in a highly volatile market. Why are long positions liquidated more than short positions? Long positions are usually liquidated more when the market declines, as investors expect prices to rise but experience the opposite. How does contract liquidation affect the cryptocurrency market? Liquidation can trigger a domino effect, causing prices to continue to drop or rise sharply due to sudden selling or buying pressure. Why is Ethereum generally more volatile than Bitcoin? Ethereum has diverse applications in DeFi and Smart Contracts, so technical events significantly impact price volatility. How can one reduce risk when trading cryptocurrency futures contracts? Proper leverage management, setting stop-loss orders, and closely monitoring the market can help minimize liquidation risk.
Source: https://tintucbitcoin.com/thanh-ly-hop-dong-tien-dien-tu-24h-2/
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