In the past 24 hours, the cryptocurrency market experienced over 403 million USD in liquidated contracts, predominantly in ETH and BTC.
Statistics from Coinglass show that the total liquidated capital is divided between long and short positions, reflecting the recent strong market volatility.
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The cryptocurrency market recorded a total of 403 million USD in liquidated contracts within 24 hours.
Long positions liquidated amounted to 236 million USD, while short positions were 166 million USD.
ETH led in liquidation value with 197 million USD, while BTC stood at over 45 million USD.
How has the cryptocurrency market experienced contract liquidations in the last 24 hours?
Data from Coinglass shows that the cryptocurrency market witnessed 403 million USD in contracts liquidated within 24 hours, reflecting a strong adjustment in investors' trading positions.
This figure reflects the high volatility and risk in the cryptocurrency market, as leveraged and margin trades are easily affected by rapid price changes.
High contract liquidations indicate the necessary caution in investment strategies while underscoring the importance of risk management.
How is the liquidation value divided between long and short positions?
Overall, out of the 403 million USD in liquidated contracts, long positions accounted for 236 million USD, higher than short positions at 166 million USD.
This indicates that the downtrend can put more pressure on long-term buyers, leading to automatic liquidations as prices fall.
Conversely, liquidating short positions also reflects the strong volatility trend that investors face even when prices fluctuate erratically.
Which cryptocurrency was most heavily impacted by liquidation contracts?
Specific data shows that ETH suffered the largest liquidation amounting to 197 million USD, accounting for most of the total capital liquidated while BTC was liquidated at 45.0742 million USD.
These two cryptocurrencies are the largest by market capitalization, so their volatility and liquidations greatly impact the overall market state.
The significant discrepancy in liquidation values between ETH and BTC may also reflect different volatility levels and trading characteristics of each coin.
Frequently Asked Questions
What is contract liquidation in the cryptocurrency market?
Liquidation of contracts occurs when an investor's position is automatically closed due to insufficient margin collateral to avoid the risk of larger losses.
Why is the liquidation value higher in long positions?
Sharp price drops put buying positions under pressure and lead to liquidations when prices fall below margin levels, resulting in greater liquidation volumes.
Why is there a significant difference in liquidation values between ETH and BTC?
ETH often experiences significant volatility and has more leveraged positions, leading to larger liquidation values compared to BTC.
What can liquidation data warn investors about?
Helps investors recognize the risk of high volatility, necessitating a sound capital management and leverage strategy.
What does the timing of liquidation data updates signify?
24-hour updated data helps investors grasp the most recent market developments and adjust in a timely manner.
Source: https://tintucbitcoin.com/24-gio-thanh-ly-hop-dong-403-trieu-usd/
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