Markets
Ethereum suffers most liquidations in panic selling
With Bitcoin’s price falling to $55,000, the panic selling in the altcoin market continues to be even more pronounced. Ethereum and almost all of the top ten altcoins are down between 10-20% as the ETH Price losing crucial support at $3,000.
Altcoin Market Crash, Ethereum Faces Most Liquidations
In a significant turnaround in the cryptocurrency market, 221,704 traders were liquidated in the last 24 hours, according to data from Coin Glass. The largest single liquidation order occurred on Binance in the ETH/USDT trading pair, valued at $18.48 million.
On the hourly chart, Ethereum liquidations have surpassed those of Bitcoin also. In the last hour, the total Ethereum Liquidations have soared to $44.5 million, while 24-hour ETH liquidations are at $107 million. Liquidations of other altcoins have also spiked significantly.
Despite all the developments that suggest a Ethereum ETF in sight Coming into late July, the price of ETH has reacted negatively and is largely in line with the broader market correction.
Ethereum developer Anthony Sassano has expressed his views on the current market glut for ETH, pointing to potential outflows from Grayscale’s ETHE. Sassano noted that ETHE has been trading at a discount of less than 2% for months and is now at a premium, raising questions about how many investors are waiting for its conversion to an ETF before selling.
Sassano also highlighted the uncertainty surrounding ETHE’s fee structure post-conversion. He suggested that fees could be much lower than anticipated or even temporarily waived to attract investors to Grayscale’s mini-trust.
Read too: Ethereum Leads Bitcoin by 2x in Network Fee Revenue
FUD reaches historic levels
As the cryptocurrency market continues to decline more sharply, there is a great deal of fear, uncertainty, and doubt (FUD) on social media platforms. On-chain data provider Santiment reported that mentions of “sell” outnumbered mentions of “buy” with each passing hour.
There have been several examples of this trend over the past 24 hours, with the ratio of negative to positive comments reaching its highest level in 2024. Santiment suggests that for bold traders, this period of heightened negativity could present an opportunity to adopt a contrarian strategy and buy the market amid widespread anger and frustration.
Courtesy: Sanctification
Among altcoins, the entire memecoin sector fell even more heavily, with all major memecoins losing between 17-25%. It will be interesting to see if these meme coins recover or if this would be the end of the meme coin craze.
Read too: Ethereum Whale Faces Liquidation, ETH Price Plummets