Data shows the cryptocurrency sector has seen a large amount of liquidations following the volatility that Bitcoin and others have gone through in the past day.
Bitcoin has experienced significant fluctuations over the last 24 hours. The past day has been a wild time for Bitcoin and the cryptocurrency market as a whole, with prices displaying notable volatility. BTC has gone through quite the rollercoaster, with its price experiencing swings in both directions.
According to a chart showing recent price action for Bitcoin, the price first dropped to a low of $100,400 from a high of around $105,800, before recovering to $104,100. Overall, the coin is down during the past day, but its loss stands at less than 2%. Other cryptocurrencies have not fared as well, with Ethereum down almost 6% and Dogecoin about 7%.
The volatility in the sector has been fueled by a public feud between US President Donald Trump and Tesla founder Elon Musk. The spat began when Trump expressed disappointment in Musk for criticizing the One Big Beautiful Bill Act, which Musk had labeled a ‘disgusting abomination.’ The two exchanged barbs on social media, with Musk even accusing Trump of being linked to the Epstein files.
With the volatility gripping Bitcoin and others, it was expected that the derivatives market would be impacted. According to data from CoinGlass, the cryptocurrency market has seen liquidations amounting to a staggering $970 million over the last 24 hours. Of this, $854 million, or 88% of the total, came from long investors due to the overall decline in prices.
As usual, Bitcoin and Ethereum led the sector in liquidations, contributing $346 million and $286 million respectively. This mass liquidation event, commonly referred to as a ‘squeeze,’ can be termed a long squeeze given that longs made up the overwhelming majority of this latest event.
