Altcoins
Cryptocurrencies See Over $300 Million in Liquidations as Bitcoin, Altcoins Plunge
Bitcoin price fell below $61,000 on Monday as bearish pressure intensified and as a result the market recorded total liquidations of over $320 million in 24 hours.
With the bulls unable to maintain key price levels as BTC has been trading lower, today’s drop has buyers eyeing a potential drop to the psychologically important $60,000 level.
The bloodbath is also visible in the altcoin market as Ethereum failed to sustain above the $3,300 level. Meanwhile, Solana, BNB, and XRP lose significant shares of recent gains. Uniswap and Maker, down 12% and 9% in the last 24 hours, are the biggest losers among the top 50 coins by market.
Settlements have reached over $320 million in the last 24 hours
On Monday, as Bitcoin tumbled past $62,000, total liquidations in the cryptocurrency market topped $300 million.
With BTC below $61,000 and looking set to extend losses, the wipeout of leveraged longs has increased to over $324 million. More than $286 million are long positions, while $36 million are short positions.
Second Coinglass datanearly $132 million of the settlements involve Bitcoin.
Longs represent the vast majority of rekt traders with nearly $122 million in 24 hours, while liquidated short positions represent approximately $9.9 million. According to market data, over $95 million of longs have been liquidated in the last 12 hours.
Overall, more than 85,440 traders were liquidated in the last 24 hours. The largest liquidation order during this period occurred at 12:30 PM ET on June 24 on Binance: a $15.36 million burn on the BTC/USDT pair.
Why did the price of Bitcoin drop dramatically today?
On June 24, the trustee of the bankrupt cryptocurrency exchange Mt. Gox announced that long-awaited repayments from creditors will begin in July. With over $9 billion in BTC with the defunct exchange earmarked for distribution, investor reaction to the news was swift and sharp.
The price of Bitcoin plunged more than 5% following the news, breaking past support levels as fears of potential sell-off pressure hit the market. The downward pressure also comes following recent selling by a portfolio linked to the German government.
Earlier this year, German police seized nearly 50,000 BTC worth around $2.1 billion.
Bitcoin’s gains in recent months have caused the total value of the coins to reach over $3 billion. But data from Arkham Intelligence shows that the wallet has recently sold a significant number of BTC, likely contributing to the sale.
Miners also sold a large chunk, with data from IntoTheBlock showing around 30,000 BTC sold after the halving.