Bitcoin continues to fluctuate and fluctuate causing great pain and losses for the leveraged traders.
Liquidations have reached over $1 billion in the past 24 hours.
The recent drop in the bitcoin price came after consecutive days of sideways trading of bitcoin and most altcoins.
The cryptocurrency market is known for its high level of volatility with double-digit price movements in either direction and in a short time.
Interestingly, however, the past several days have been quite the opposite as Bitcoin has remained somewhat stagnant in the $35,500 to $37,000 range.
As we mentioned above about Bitcoin being volatile, the stagnation process did not last long until it moved and the bears controlled its movement in the last 24 hours.
Bitcoin was trading around $37,000 before suddenly sank $3,000.
Although this was a significant drop, the situation worsened even more minutes later, and Bitcoin lost another $1,500 of its value.
As usually happens when Bitcoin makes its move to the downside, altcoins have followed Bitcoin’s lead with even stronger losses.
Double-digit price drops have been evident across the entire altcoin space.
In the end, the cumulative market capitalization of all cryptocurrencies saw over $200 billion evaporate in a single day.
Naturally, these developments have hurt traders who use leverage.
According to Bybt , liquidations in the past 24 hours totaled more than $1 billion.
To some extent, it is expected that the majority (more than 90%) came from long positions.
According to “Bybit”, the largest liquidation occurred for the Ethereum trader, and the liquidation was worth $7 million.