Markets
Crypto Market Rebounds, Generating Over $56 Million in Short Liquidations
Crypto Market Rebounds, Generating Over $56 Million in Short Liquidations
The cryptocurrency market saw a modest recovery on Tuesday, with almost all tokens in the top 100 by market cap posting gains compared to the previous day. This upward trend, however, led to significant liquidations of over $87 million in the last 24 hours, of which $56 million came from short positions, according to for CoinGlass.
Bitcoin (BTC) gained 2.45% in the last 24 hours to trade at $61,983, while Ethereum (ETH) increased 1.88% to $3,403. Notably, memecoins like Pepê (PEPE) It is Dogwifhat (WIF) performed exceptionally well, with gains of 15.9% and 16.8%, respectively.
While these gains are positive for the market overall, they spelled trouble for those who took short positions. Even those with long positions faced some setbacks, with approximately $30.9 million in long positions being liquidated. The cryptocurrency market has been on a downward trajectory over the past two weeks, with Bitcoin falling to $59,780 yesterday. Several factors contributed to this downward pressure, such as sale of Bitcoin seized by Germany and the expected Bitcoin movements held by failed cryptocurrency exchange Mt. Gox.
Bitcoin and Ethereum have been particularly impacted by recent sell-offs, which reached over $360 million on June 24, when Bitcoin fell below $60,000 for the first time since early May. In the midst of these market movements, analysts are paying attention to “accumulation whales”, large investors who may be taking advantage of lower prices to accumulate more assets.