In the past 24 hours, the cryptocurrency market witnessed a total liquidation value of up to 555 million USD.
Data from Coinglass shows that the majority of liquidations came from long and short positions across the network, with BTC and ETH being the two cryptocurrencies that accounted for the largest proportions.
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The total value of liquidated contracts in the past 24 hours reached 555 million USD.
Long positions accounted for 308 million USD, while shorts accounted for 246 million USD.
BTC and ETH were 103 million USD and 252 million USD respectively in total liquidation.
What is liquidation of contracts and why is it important in the cryptocurrency market?
Liquidation of contracts occurs when trading positions do not have enough collateral and are automatically closed to avoid excessive losses.
This phenomenon reflects the level of volatility and market pressure, directly affecting investor sentiment and short-term price trends. According to data from Coinglass, a decrease in liquidity or sudden price volatility often triggers multiple liquidations simultaneously.
What was the liquidation trend in the past 24 hours?
The total liquidation value of cryptocurrency contracts reached 555 million USD, with long positions accounting for the majority at 308 million USD, while the remaining 246 million USD were short positions.
This shows the pressure of an exodus from investors expecting relatively large price increases during this period. The correlation between long and short liquidations also reflects a temporary imbalance in the market.
What is the impact of large liquidation events on Bitcoin and Ethereum?
Of the total 555 million USD liquidated, Bitcoin accounted for 103 million USD, and Ethereum was 252 million USD. These are the two cryptocurrencies with the largest trading volumes and market capitalizations, so their volatility significantly affects the entire market.
This data shows that Ethereum faced stronger liquidation pressure than Bitcoin in the observed timeframe, possibly due to the impact of specific events or price volatility.
"Liquidation of contracts is an important warning sign that indicates financial stress in the cryptocurrency market, which needs to be closely monitored by investors and management."
– Le Minh Hung, Cryptocurrency Financial Expert, 2024 Market Update Report
Frequently Asked Questions
How do liquidations affect cryptocurrency prices?
Liquidation of contracts often leads to significant short-term price volatility due to sudden selling or buying pressure in the market.
Why have long positions been liquidated more in the past 24 hours?
Downward price pressure or directional volatility causes bullish positions to lack sufficient collateral, leading to more liquidations.
How can investors minimize the risk of liquidation?
Investors should monitor market fluctuations, manage leverage wisely, and set stop-loss orders to avoid large losses and liquidations.
Do liquidations of Bitcoin and Ethereum affect other Altcoins?
Strong fluctuations in BTC and ETH often have a ripple effect on Altcoins due to market sentiment and capital flow movement.
Where is the liquidation contract information updated from?
Liquidation data is updated from reputable market analysis platforms and exchanges such as Coinglass, helping to monitor market positions in real-time.
Source: https://tintucbitcoin.com/thanh-ly-hop-dong-toan-mang-555-trieu/
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