A wave of large-scale liquidations ravages the crypto market

The crypto market was rocked by a wave of liquidations of $96 million, triggered by the fall in the price of bitcoin to $65,000. This sharp decline led to the liquidation of leveraged positions for tens of thousands of traders, mainly on centralized exchanges.

Bitcoin and altcoins struggle to regain their peaks

The crypto market has been going through a period of severe turbulence for several months, with bitcoin (BTC) and other digital assets having difficulty returning to the highs reached in March 2024.

Last week, BTC fell 2.5% from $69,547 to $66,018, leading to the liquidation of leveraged positions worth almost $200 million. This downtrend continued, with bitcoin reaching $65,890 on June 17.

This fall triggered a wave of liquidations massive, with approximately $96 million wiped from the market in 24 hours. According to CoinGlass, long traders suffered losses of $62.14 million, while short traders recorded a more modest loss of $32.91 million.

Ethereum was hit the hardest with $21.36 million liquidated, followed by Bitcoin with $10.54 million.

Centralized stock exchanges on the front line

Liquidations mainly took place on centralized exchanges, with Binance recording the largest liquidation order at $4.21 million. The world's largest crypto exchange thus contributed to more than half of the funds liquidated in a single day, with its users losing approximately $48.21 million, or 51.07% of the total liquidations.

Other platforms such as OKX, Bybit, and Huobi Global (renamed HTX) also suffered significant losses, liquidating $29.63 million, $8.17 million, and $5.83 million, respectively.

Since the beginning of June, liquidations have taken place on centralized exchanges. By June 7, losses already amounted to $400 million, and last week the sector recorded liquidations reaching $190.97 million.

In short, this wave of liquidations highlights the continued volatility of the crypto market and the risks associated with leveraged positions. As bitcoin and altcoins struggle to return to their all-time highs, traders must remain cautious and adapt their strategies to navigate these stormy waters.