On July 28, 2024, the cryptocurrency market experienced significant liquidations over 24 hours. The total amount liquidated was $183.57 million.
Liquidations Breakdown:
- 🔴 LONGS: $124.96 million
- 🟢 SHORTS: $58.61 million
A total of 46,442 traders were liquidated during this period. The largest single liquidation order happened on OKX for the #ETH-USD-SWAP pair, valued at $4.00 million.
What is Liquidation in Crypto?
Liquidation in the crypto market happens when traders cannot meet the margin requirements for their positions. This forces the sale of their assets to cover losses.
Why Did This Happen?
Liquidations often occur due to rapid market movements. When prices move sharply, traders with leveraged positions may not have enough margin to support their trades, leading to forced liquidation.
Impact on Traders
- Long Positions: $124.96 million worth of long positions (bets that prices would go up) were liquidated.
- Short Positions: $58.61 million worth of short positions (bets that prices would go down) were liquidated.
Largest Single Liquidation
The biggest single liquidation order was on OKX for the Ethereum (ETH) swap against the US Dollar (USD). This single order was worth $4.00 million.
