After Bitcoin closed a historic September, the crypto market faced massive liquidations across all exchanges of up to $560.45 million.
According to the liquidation heatmap of CoinGlass, the crypto market suffered a loss of 560.45 million. The 24-hour rekt indicator has been bleeding heavily. The site stated that 165,971 traders were liquidated. The biggest liquidation order happened on Binance in the BTC/USDT pair, with a value of negative $12.66M.
The sudden liquidations may have been triggered by the ongoing war in the Middle East after Iran started firing at least 300 missiles at Israel. The attack is Iran’s response to Israel assassinating Hassan Nasrallah, the former leader of Hezbollah.
The crypto market reacted by a streak of sales which created a domino effect of liquidations, pushing the market into the red.
Uptober is turning to Rektober
BTC took the biggest hit and liquidated long positions resulting in a $16.98 million loss. ETH isn’t far away with a total loss of $12.24 million in the last 24 hours. Altcoins suffered heavily as well. SUI liquidated a total of $6.10 million while SOL long positions lost $3.95 million.
In the last 24 hours, BTC declined by 3.99%, hitting the $60,911.1 point. ETH bled more than BTC with a negative -6.98% and currently trading at $2,431.16. Other altcoins like SOL and XRP declined by -7.08% and -6.68% respectively. SOL is currently trading at $144.162 while XRP is at $0.5851.
On September 30th, an analyst stated that BTC was facing resistance and heading to a short-term support level of $64,000. He predicted that BTC will decline to $55,000 if the support level doesn’t hold. Unfortunately, BTC faced rejection from the resistance line and started bleeding.
Some analysts believe that BTC could touch the $52,500 range. To avoid this, Bitcoin buyers must step in to avoid BTC declining to a retest level of $45,000.
🩸JUST IN:
$526 million leveraged #Bitcoin positions were liquidated in just 24 hours.
REKT! pic.twitter.com/QiVK8GlTH4
— Radar🚨 (@RadarHits) October 2, 2024
The crypto market sentiment is imbalanced
A twitter user believes that in order to have a real Uptober, the market sentiment needs a reset while another thinks that opening long positions at a resistance point was a mistake. Another user was concerned about massive liquidation, blaming regulators for not paying close attention to leverage trading and not protecting users.
According to historical data, October always starts with a red candle that lasts for a week, then the crypto market starts taking off.
X user @0xDataScope said that “Analyzing extreme investor behavior helps identify potential market turning points. Excessive Long or Short positions show that market balance is disturbed, often preceding corrections or trend reversals.”
