Total liquidation in the last 24 hours: 1.02 billion USD

1. Overview of order liquidation

• Total liquidation in the last 24 hours: 1.02 billion USD, including:

• Liquidated Longs: 860.5 million USD.

• Liquidated Shorts: 164.4 million USD.

Remarks:

• The majority of liquidated orders are Longs, indicating a strong downtrend causing buy (Long) orders to be 'swept' due to rapid price drops.

• This is a sign of a market under strong selling pressure.

2. Liquidation analysis by timeframe

• Last hour:

• Total liquidation: 32.9 million USD.

• Liquidated Longs: 31 million USD (dominant).

• Liquidated Shorts: 1.9 million USD.

• Last 12 hours:

• Liquidated Longs: 642.9 million USD.

• Liquidated Shorts: 101 million USD.

Remarks:

• The liquidation trend is primarily Long orders, indicating the market is experiencing a significant price drop and many traders could not close their positions before the sharp decline.

3. Long/Short Ratio

• BTC (Bitcoin):

• Long/Short Ratio: 48.18% Long vs. 51.82% Short.

• The number of Short orders dominates, reflecting a slight bearish sentiment towards BTC.

• ETH (Ethereum):

• Long/Short Ratio: 47.59% Long vs. 52.41% Short.

• Similar trend to BTC, the market still leans bearish.

• FIL (Filecoin):

• Previous data shows a dominant Short ratio, consistent with large Long order liquidations in the last 24 hours.

4. Trading strategy based on liquidation data and Long/Short

Scenario 1: The market continues to decline

• With most liquidations occurring in Long orders and a high Short ratio, the downtrend may continue.

• Action:

• Consider opening a Short position when the price breaks important support or when the Short ratio continues to rise.

• Set stop-loss above the nearest resistance to protect the position.

Scenario 2: Potential Short squeeze

• If the Short ratio becomes too high, there is a possibility the market will create a Short squeeze, pushing prices up in the short term.

• Action:

• Consider opening a Long position if the price surpasses important resistance with high trading volume.

• Set stop-loss below the nearest support.

5. Notes when trading

• Monitor liquidation fluctuations: Liquidation spikes (especially from Long or Short orders) often lead to significant price fluctuations.

• Trading volume: If trading volume spikes along with a high Short ratio, a Short squeeze may occur.

• Risk management: Due to high market volatility, tight stop-loss levels should be used and reasonable capital management is necessary.