Bitcoin’s Dramatic Plunge: $500 Million Liquidated in a Single Day! 😱

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Well, folks, it seems the cryptocurrency market has decided to throw a tantrum, and not just any tantrum—a full-blown, $500 million meltdown! 🎢

Crypto Liquidations Have Exceeded $680 Million In Last 24 Hours

According to our friends at CoinGlass, the derivatives platforms have been busier than a cat in a room full of rocking chairs. “Liquidation” is just a fancy term for when your open contract gets kicked to the curb after losing a bit too much weight (and by weight, I mean money). 💸

Here is a table that shows the numbers related to the latest cryptocurrency liquidations:

As you can see, around $685 million in contracts have been unceremoniously liquidated in the last 24 hours. Out of these, a staggering $519 million were long positions—basically, 76% of the total. Talk about a long day at the office! 😅

Why, you ask? Well, it turns out Bitcoin and its digital buddies decided to take a nosedive. But don’t worry, $166 million in shorts also got caught in the chaos, proving that even the pessimists can’t escape the madness. 🎭

Now, if we look at the contributions from various symbols, BTC is the star of the show, raking in $278 million, as the heatmap below illustrates.

Interestingly, Ethereum (ETH) has been playing it cool, with less than half the liquidations of BTC. It seems the speculative crowd has been more enamored with Bitcoin lately—perhaps it’s the shiny new toy syndrome? 🧸

Today’s mass liquidation event is what the cool kids call a “squeeze.” Since the longs took the brunt of it, we’re looking at a long squeeze. Sounds like a yoga pose, doesn’t it? 🧘‍♂️

A squeeze is more likely when the market is overleveraged, which is just a fancy way of saying everyone’s betting their lunch money. One way to gauge this is by checking the Open Interest, which measures the total amount of positions (in USD) that are open on all derivatives exchanges. Spoiler alert: it’s not looking good! 📉

Below is a chart that shows the trend in the Open Interest for Bitcoin over the last few months.

From the graph, it’s clear that Bitcoin’s Open Interest has been on a downward spiral, and the latest long squeeze just added fuel to the fire. So, it seems speculative activity is taking a permanent vacation. 🏖️

This might actually be a good thing for the cryptocurrency world, as a cooler derivatives market means fewer chances of chaos. Who knew that less drama could be a blessing? 🙌

BTC Price

As of this moment, Bitcoin is trading around $79,400, down over 6% in the last week. So, if you were planning on buying a yacht with your crypto gains, you might want to hold off for a bit. 🚤

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2025-03-11 11:07