Cryptocurrency market liquidations surged to a one-week high on Wednesday as the price of Bitcoin fell below $60,000.
Over 74,000 traders lost $208 million in the past 24 hours. Coin Glass The data shows.
Most of that – about $184 million – hit investors who had held long positions betting that prices would rise.
The largest liquidation was by Ethereum investors, amounting to $55.5 million, most of which were long positions, according to the data.
Ongoing issues surrounding US monetary policy, geopolitical tensions, and the upcoming US presidential election in November are predicted to influence the prices of major cryptocurrencies throughout 2024.
Bitcoin fell from around $62,200 to $59,425 in intraday trading. The asset has since recouped losses of over $60,200, but is still down 3% in the past 24 hours.
Solana, the world’s fifth-largest cryptocurrency by market cap, took the biggest hit among the top 10 coins, dropping about 8% to $140. Solana was on a roll late last month when New York-based investment management firm VanEck filed for the “Solana Trust” exchange-traded fund.
Leading cryptocurrencies have fallen over the past month, with Ethereum dropping more than 12% in 30 days despite growing interest in the debut of an Ethereum spot ETF.
Some analysts have predicted the new financial product could begin trading by mid-July, with at least one predicting a surge in the price of ETH afterwards. Bitcoin has fallen 12% in the same period.
Indeed, analysts are predicting further price growth this year, with the current market slowdown portending another big price surge in the coming months, Decrypto reported on Monday.
On Wednesday, analytics firm CryptoQuant published a report examining Bitcoin mining metrics and pointed to conditions that could lead to the price bottoming out at current levels.
Editor: Sebastian Sinclair.
