The Bitcoin price made a sudden retracement to drop below $10,000 once again, and traded around the $9,600 level. This has led to hundreds of millions being liquidated through long positions.
About $230 million longs were liquidated on Okex, $148 million on BitMEX, $88 million on Bitfinex, and the list continues. This huge loss is a clear indication that the investors were bullish on the market and the drop came by surprise.
Liquidation data from bybt.com in the last 24 hours shows that investors have lost millions of dollars. A single largest Bitcoin liquidation happened on Huobi exchange with a loss of about $17.8 million. Okex exchange which topped the pack has seen over $237 million Bitcoin longs liquidated.
Other top exchanges with massive Bitcoin liquidations include Huobi with $199 million, Binance with $186 million, with FTX recording just a little over $1 million. Within the past 24 hours, the number of investors who have lost their funds through liquidation is over 27,000.
Most of the investors who had their funds liquidated expected that the $10,000 psychological position would see FOMO push the market higher. Moreover, Bitcoin confirmed its golden cross which some analysts have pointed out should see Bitcoin surge within the next couple of weeks.
The cause of this sudden decline is still not clear. However, it could also be that there was a panic selling which was triggered by whales. There have been recent activities in whales’ wallets as most transfer their BTC unto exchanges.
This signaled that there was an eminent dump, so most traders opted to cash out before any massive drop.
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