As the Bitcoin and Ethereum prices hit new all-time high, short-term traders bore the brunt of the liquidations. In the last day alone, more than $330 million was liquidated in the crypto market, and the majority of that came from short traders expecting prices to fall further.
More than 78,000 traders liquidated for $330 million
Coin Data watch that the last 24 hours have been brutal for crypto traders. In a short time, over 78,000 crypto traders had their positions liquidated, resulting in losses of hundreds of millions of dollars.
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In total, there were $330 million in liquidations. Of this figure, 81.42% were positions owned by short traders, meaning they accounted for $268.76 million of the total figure. Long traders accounted for only $61.31 million in liquidations.
![Ethereum crypto liquidations](https://www.newsbtc.com/wp-content/uploads/2024/05/Screenshot-2024-05-21-at-12.00.22.png?w=460&resize=605%2C200)
Contrary to the established trend, Bitcoin did not lead liquidations this time it is falling behind Ethereum. This is understandable since the price of Ethereum increased by more than 20% in a 24-hour period, while the price of Bitcoin maintained gains of around 6%.
Ethereum liquidations accounted for around 32% of the total figure, amounting to $105.13 million at the time of writing. The largest liquidation event also occurred on an ETH-USDT pair on the Huobi exchange, costing the trader $3.11 million.
In contrast, Bitcoin liquidations totaled $96.53 million, but just like Ethereum, this figure was made up by a majority of short traders. Behind Bitcoin is Solana with liquidations of $21.53 million. Other coins that saw significant liquidations include Dogecoin with 7.42 million dollars and PEPE with 4.3 million dollars.
Bitcoin and Ethereum lead the market rally
The market rally that shook the market over the past day has mainly led by Ethereum, with the support of Bitcoin. THE United States Securities and Exchange Commission (SEC) has asked exchanges to update their 19b-4 filings, which are important for the approval of any Spot ETF.
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Given this, market sentiment has improved as expectations regarding the approval of Spot ETF Ethereum propagated. Meanwhile, Bloomberg analysts James Seyffart and Eric Balchunas also revised their chances of approval for the funds from a low of 25% to a high of 75%.
Meanwhile, Ethereum price moved from trending around $3,100 to over $3,700. At the same time, the Bitcoin Price surged above $71,000, sparking one of the best days for the crypto market so far in 2024.
Featured image of Dall.E, chart by Tradingview.com