The crypto markets have transformed, with liquidations soaring to approximately $680 million over a recent 24-hour span.
This upheaval comes on the heels of a downturn in Bitcoin’s price, causing ripples across the board. According to data from CoinGecko, Not only Bitcoin but also other major cryptocurrencies like Ethereum and Solana have experienced a reversal of fortunes, highlighting the volatile nature of the digital asset space.
Read also: Solana (SOL) Price Surge Continues Amid Market Downturn
Consequently, the brunt of the liquidations was felt by Bitcoin, with a total of $246.66 million wiped out. This figure includes $195.61 million from bullish investors and $47.05 million from bearish bets. The previous instance of liquidation due to a decline in prices saw several analysts, Peter Schiff among the critics, holding an optimistic view on the potential for a rally.
Ethereum wasn’t spared either, enduring liquidations amounting to $116.07 million, split between $94.86 million in long positions and $21.21 million in short positions. This wave of liquidations underscores the precarious position traders find themselves in amidst the unpredictable swings of the crypto market.
Solana Stands Out Amid Market Downturn
Solana showcased remarkable resilience by bucking the downtrend that afflicted its peers. At press time, SOL saw a 3% increase in its value, reaching $175.05, according to CoinGecko data. This unexpected surge amidst a general market downturn spotlights Solana’s unique position and investor confidence in its potential, even as other major cryptocurrencies struggle to maintain their footing.
SOL/USD 1-day price chart (Source: CoinGecko)
Despite the recent market turmoil, there’s a glimmer of hope for stability in the near future. The anticipation surrounding the upcoming Bitcoin halving event has injected a degree of optimism into the market.
Moreover, the growing interest and investment in cryptocurrency products, such as spot Bitcoin ETFs, may offer a buffer against further price declines. This complex interplay of factors suggests that while the crypto market is currently facing challenges, the potential for recovery and stability remains contingent on broader market sentiment and developments.
