According to Coinglass monitoring, the most severe leveraged liquidation of the year occurred here in the past 24 hours.
The total liquidation amount reached $879 million, skyrocketing 580% compared to the previous day, setting a single-day record for 2024. The long-short battle is severely unbalanced, with long liquidations amounting to $815 million, accounting for 92.7%, while short liquidations totaled $64.22 million, with the plummeting market dominating.
The leading cryptocurrencies suffered heavy losses in this storm, with Bitcoin (BTC) liquidated for $240 million, Ethereum (ETH) $187 million, and Solana (SOL) $98.23 million, with these three major cryptocurrencies accounting for over 60% of the total liquidation amount. Even more heartbreaking is that 294,000 investors encountered the misfortune of 'account zeroing', with the largest single liquidation occurring in the BitMEX XBTUSD contract, amounting to $10 million.
This event has had a profound impact on the market. Platforms like OKX and Binance saw a sharp decline of 22% in BTC contract positions, and a large number of forced liquidations exacerbated price volatility. The cryptocurrency Fear and Greed Index dropped from 82 (extreme greed) to 64 (neutral) in a single day, indicating a rapid cooling of market sentiment. Moreover, altcoins were not spared, with the top 4-10 on the network's liquidation list being small to mid-cap coins, some of which saw declines exceeding 30% within 24 hours.
This wave of liquidations exposed three major risks in the crypto market: high leverage traps, with mainstream platforms offering up to 125x leverage, where a 5% price fluctuation could wipe out the principal; a contract liquidity crisis, where insufficient exchange depth under extreme market conditions leads to increased slippage; and the meme coin backlash effect, where speculation in the SOL ecosystem has heightened the overall risk exposure.
If you don’t understand the market, observe first and don't guess the market!!!
If you don’t understand the market, observe first and don't guess the market!!!
If you don’t understand the market, observe first and don't guess the market!!!
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