Bitcoin
Cryptography is collapsing! The market loses US$160 million in 24 hours!
5:30 pm ▪ 3 min reading ▪ by Eddy S.
The wind is changing again in the crypto markets. In just a few hours, significant liquidation movements swept the ecosystem, reaching a substantial total of 160 million dollars. Another reminder, if one were needed, of the unpredictable nature that continues to define this young and promising sector.
Crypto: Massive Liquidations, Symptom of an Unpredictable Market
The data is clear: in the space of 24 hours, more than $160 million worth of open positions were wiped out of the crypto market. Bitcoin alone saw almost 20 million dollars go up in smoke. But this is Ethereum which takes the crown to liquidations with an abysmal sum of 27.8 million dollars wiped out. An even more severe shock as the price of ETH recently reached new highs, driven by the approval of spot ETFs in the United States.
However, besides the mastodons, this tidal wave did not spare any actor. Many smaller projects were hit hard by these chaotic movements. Like Notcoin, whose positions worth almost 6.2 million dollars were liquidated in record time. In short, the numbers speak for themselves: volatility continues to be a major challenge for the entire crypto ecosystem, regardless of capitalization.
The controversial role of major centralized platforms
While these recent market upheavals illustrate well the general immaturity of the market, we should not obscure the central responsibility of major crypto exchange platforms. Leading this intense quartet, Binance stands out as the epicenter of the latest wave of liquidations with $75.8 million in positions undone in just 24 hours. An astronomical number that alone represents almost half of the purges suffered across all cryptocurrencies.
Behind Binance, other heavyweights are equally impacted by this speculative wave. Leading the pack is OKX with 53.9 million in liquidations, followed by Bybit (14.2 million) and Huobi (11.3 million). In the end, these four large centralized exchanges concentrate most of the damage, crystallizing in themselves the excess risk exposure that plagues the crypto market.
Without a doubt, the recent turmoil has been an uncompromising revealer of the still prominent immaturity in the crypto market. However, rather than sounding the death knell for an emerging technology, these upheavals require continued transformation of the sector towards greater maturity and stability. A titanic challenge, indeed, but essential to guarantee the sustainability of digital assets as a real alternative to traditional financial systems.
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Eddy S.
The world has evolved and adaptation is the best weapon to survive in this universe. Crypto community manager at the base, I’m interested in everything you touch on the front or back of the blockchain and its derivatives. In the option to share my experience and make you aware of a domain that I am passionate about, it is good for you to read informative and contract articles as you go.
DISCLAIMER
The views, thoughts and opinions expressed in this article belong solely to the author and should not be considered investment advice. Do your own research before making any investment decisions.