$10 Billion in Liquidations as the Crypto Market Cap Evaporated $360B in Hours
A sudden and enhanced volatility in the crypto market recently caused approximately $10 billion worth of liquidations in less than a day as bitcoin along with the hard fall of the altcoin market as well.
reportedly, over 90% of the liquidated amount came from long positions.
Bitcoin fell by more than $9,000 within hours, Ethereum went down by almost $400, and so did the whole altcoin market. Most digital assets decreased by double-digits, the cumulative market cap lost almost around $360 billion at a point.
One theory outlined the rumor occurred behind the dump indicating that the US Treasury Department plans to charge numerous financial institutions for laundering money using cryptocurrencies. As the valid reason is still debated, the sudden price drops caused pain for traders.
Most of the liquidation took place on the largest exchange Binance, which is somewhat expected as it has big volume. Followed by Huobi and Bybit.
Along with this, the largest single liquidation order took place on Binance and it had a face value of a whopping $68.73 million.