As much as $309 million worth of cryptocurrency has been liquidated in the last day alone, according to statistics from CoinGlass.
The bulk of these liquidations ($272 million) result from long bets.
One unfortunate trader lost $15.36 million in a single day on Binance, which saw the highest single liquidation order.
When it comes to overall liquidations, Binance—the biggest exchange based on trading volume—leads with $122.36 million. Huobi and OKX, with $86.4 million and $48.8 million, respectively, are in third and second place.
The biggest cryptocurrency’s price crashed earlier today, hitting an intraday low of $60,700, which set off a round of liquidations.
When Mt. Gox, the now-defunct exchange, announced that it would begin reimbursements the next month, many market participants were taken aback. The announcement on Monday made the decline in Bitcoin worse.
It’s conceivable that some of the 2014 hack victims may feel pressured to sell their possessions. However, given that Mt. Gox claims have already been traded for years, the amount of selling pressure is probably overstated.
The significant PCE price index data, which is scheduled for release this Friday, may also have contributed to some of the volatility. The US Federal Reserve will probably decide to lower interest rates based on the PCE price index data.
Having said that, the daily chart of the Bitcoin Relative Strength Index (RSI) has now entered the oversold zone, indicating that an excessively gloomy attitude may cause a bounce shortly for the cryptocurrency.
The #Bitcoin daily RSI has reached an oversold area three times in the last two years, leading to 60%, 63%, and 198% price increases for $BTC, respectively.
