Key Points
- Cryptocurrency liquidations reached almost $300 million in 24 hours, largely due to a sudden Bitcoin price surge.
- Short positions experienced the most losses, with over $206 million liquidations as Bitcoin broke key resistance levels.
A sudden spike in Bitcoin’s price led to a wave of cryptocurrency liquidations, nearing $300 million in just a single day.
Details on Crypto Liquidations
Data from Coinglass indicated that on October 14th, crypto liquidations reached nearly $240 million. Short positions were the most affected, with around $206 million liquidations, while long positions accounted for approximately $35 million.
In the next trading session, the tables turned. Long position liquidations surged to over $187 million, and short positions continued to face losses, with over $123 million in liquidations. This marked the second-largest liquidation event of the month, only behind the massive $500 million liquidation on October 1st.
Bitcoin’s Influence
The sudden price increase in Bitcoin triggered these liquidations. After a period of minimal price activity, Bitcoin’s surge led to a series of liquidations, particularly impacting short positions.
On October 14th, Bitcoin liquidations totaled over $94 million, with short positions accounting for $89 million. In the next session, short liquidations fell to nearly $50 million, while long liquidations increased to $27 million. This pattern indicates that Bitcoin’s recent price surge has had a disproportionate impact on short traders.
On October 14th, Bitcoin’s price jumped by more than 5%, causing significant impact on short positions with over $200 million in liquidations. The next day, Bitcoin maintained its upward momentum, posting a 1% increase. This time, long positions bore the majority of the hits in the liquidation market.
At the time of writing, Bitcoin was trading in the $67,000 price range, showing a slight increase and further complicating the cryptocurrency liquidations trend.
