The cryptocurrency futures markets have recently experienced a violent wave of losses, with traders suffering billions of dollars in losses due to the decline in Bitcoin and altcoin prices. Here is a detailed look at these losses in numbers:
📉 Total losses in futures
Total losses over 3 days: Futures positions worth $2.59 billion were liquidated, with $2.22 billion in long positions and $368.7 million in short positions.
Daily losses in 24 hours: In one session, positions worth $226.53 million were liquidated, including $174.17 million from long positions.
💥 Key liquidation events
Liquidation worth $700 million: The price of Bitcoin fell, leading to the liquidation of positions worth $700 million in the futures markets, with significant losses recorded in coins like XRP and DOGE.
Liquidation worth $555 million: The markets saw liquidation of positions worth $555 million, significantly impacting leveraged positions in Bitcoin and Ethereum.
📊 Market impacts
Bitcoin price drop: The price of Bitcoin fell by 3.34% to $102,346.70, leading to the liquidation of long positions worth $174.17 million.
Impact on altcoins: Coins like XRP and DOGE experienced sharp declines, recording losses of 5.5% during the liquidations.
⚠️ Lessons learned for traders
Risk management: These events highlight the importance of using risk management strategies and avoiding over-leveraging.
Market monitoring: Staying updated on market movements and economic events can help in making informed trading decisions.
These numbers show the volatility of cryptocurrency markets and the dangers of trading with leverage without effective risk management strategies. Traders should exercise caution and make informed decisions to protect their investments.
