blockchainreporter.net
Over $192.16 million in tokens have been liquidated from the virtual currency market in the last 24 hours. That is according to data released today November 29 by Phoenix Group.
The market has witnessed incredible price fluctuations, creating surprises for users. This incident shows the danger of trading digital currencies. Investors are the most impacted, with BTC, ETH, XRP, DOGE, and SOL getting involved in a big part of the latest liquidations.
Most affected was Binance, with assets valued at $86.75 million liquidated in the last 24 hours. Others were OKX ($53.46 million), BYBIT ($36.96 million), HTX ($11.75 million), Coinex ($2.77 million), BitMEX ($686.09k), and BitFINEX ($22.91k).
Bitcoin leads in liquidations
Data from Phoenix Group shows that Bitcoin and Ethereum were the main culprits, with $63.63 million worth of positions liquidated. BTC worth $31.92 million has been liquidated while ETH worth $31.71 million sold in the past 24 hours.
Other major alternative assets, like XRP, Dogecoin, and Solana, also experienced massive selloffs, with $13.00 million, $6.85 million, and $5.75 million wiped out respectively.
The interesting thing is that the latest crypto liquidations have slowed down compared to previous selloffs. Since November 6, crypto liquidations continued to surpass $300 million every single day. The market witnessed the highest sell-outs on November 12 when crypto assets worth $800 million were liquidated within 24 hours.
Dive in the numbers
As market volatility continues, the main reasons for the latest liquidations’ decrease compared to previous sell-outs are traders’ knowledge and market shifts.
The decrease shows that many traders from the past market cycle are selling assets and investing in tokens they are familiar with. Some traders consider this as an opportunity, particularly tokens trading below their market price.
The decrease is also due to the market having come into a period of restored stability after weeks and months characterized by substantial volatility. The shift comes after geopolitical tensions and macroeconomic events that caused a market slowdown vanished a few months ago.
Following Friday’s great liquidation event, the market has shown indications of stabilization. Decreased leverage in the market has performed a key role in this stability. Annualized Bitcoin and Ether perpetual futures funding rates have declined from a two-month high of 10-11% to 5-2%, signaling a more stable market condition.
The recently concluded US presidential elections also played a crucial function in the market, suggesting a more favorable regulatory environment next year. The shift in the legislative space could have incredible impacts on the market’s long-term growth and stability.