$BTC
The Biggest Liquidation Since 2021!
In the last 27 hours, the cryptocurrency market crashed, wiping out nearly $2 billion in trades. This event left many traders out in the cold.
What happened?
1. Coinbase traders initiated a massive sell-off.
One hour before the main collapse, sales on Coinbase generated a chain selling pressure.
2. Cascade of liquidations.
Upon reaching key liquidation zones, leveraged positions were automatically closed and stop-losses were triggered, creating a chain reaction.
3. Overheated market.
Upward funding rates, a sign of excessive long positions.
Too many traders entering the market at the same time.
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For this reason, it’s better to hold.
Holding cryptocurrencies long-term is safer than trying to predict the market. This is why a holder always has an advantage over a trader.
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Interesting movements
1. ETH fared better.
Ethereum showed less decline than Bitcoin, with solid trading volume.
2. Massive sell-off of XRP.
The low liquidity of XRP amplified its drop, despite its high market capitalization.
3. High volume in ADA, USDC, and FDUSD.
These tokens attracted a lot of activity during the crash.
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What comes next?
Liquidations eliminate weak hands.
Smart money buys at low prices.
The market tends to recover quickly.
In summary, these events reinforce the importance of having a solid strategy, especially for those who hold. Patience pays off! $THETA $CELO
