The cryptocurrency derivatives market has faced substantial liquidations, amounting to nearly $429 million in the last 24 hours, due to a significant crash in altcoin prices. Long positions, where traders were betting on price increases, bore the brunt of this with around $367 million in forced closures, making up over 85% of the total liquidations.

This widespread liquidation event was triggered by the sharp decline in the cryptocurrency market, where most altcoins experienced drops of more than 5%. Such volatility led to chaos in the derivatives market, as platforms had to forcibly close contracts that had accumulated significant losses.

CoinGlass data reveals that Ethereum ($ETH ) led the liquidations, with approximately $92 million in forced closures. This is attributed to ETH's drop of over 3%, in contrast to Bitcoin ($BTC ), which remained relatively stable and did not lead in liquidations as it often does during such events. Notably, memecoins like Dogecoin (DOGE) and Shiba Inu (SHIB) also saw significant liquidation figures, with DOGE at $60 million and SHIB at $23 million.

The heatmap of individual asset liquidations underscores the extensive impact on various cryptocurrencies, highlighting the volatile and unpredictable nature of the market. This latest event serves as a stark reminder of the risks involved in the derivatives trading of digital assets, especially during periods of market instability. $NOT