Data shows that over the past 24 hours, more than $127 million in Bitcoin and Ethereum futures have been liquidated. The price of both cryptos has decreased by 6% and 7%, respectively, wiping out the recent gain. According to Coinglass statistics, Bitcoin futures alone lost $57.78 million, implying that most trading activity and open interest were restricted by market capitalization to the most prominent cryptocurrency. However, Ethereum futures suffered a $64 million loss. Related Reading | Bitcoin Market Cap Shed Over $120-B Last Month – How Much More Can It Lose? Liquidations occur when an exchange closes a leveraged position for a safety mechanism. It happens because of a partial or total loss of the trader’s initial margin. That happens primarily in futures trading. That only tracks asset prices instead of spot trading, where traders own the actual assets. As per CoinMarketCap statistics, Bitcoin is currently down 5.85% on the day. It also means that the major cryptocurrency with a market value of $563.33 billion is down 57.06% from its all-time high of $68,789.63. Likewise, Ethereum, the second-largest cryptocurrency, is now down 64.02% from its all-time high of $4,891.70 reached in November 2021. Nevertheless, ETH is struggling to keep its recent positive momentum going. Feasible Reasons Behind Bitcoin & Ethereum Crash The Crypto Fear & Greed Index is a way of gauging market activity and determining i...
