As seen by the 5.66% decline in the industry’s total market value, which is currently estimated to be $1.04 trillion, the cryptocurrency ecosystem is currently pessimistic. According to statistics from CoinGlass, the total liquidations have surpassed $385.92 million due to the severe and all-encompassing price decline.
According to the statistics, 184,532 traders have been liquidated in total over the last day, with a trader liquidating the most at $2.18 million.
Unusual for this liquidation, Ethereum (ETH) and Bitcoin (BTC) are vying for first place among the most liquidated tokens. BTC has been liquidated for a total of $49.87 million during the last day, while the value of liquidated Ethereum tokens is $45.96 million.
Ethereum presently appears to be in the lead in the hours before writing, despite Bitcoin having outperformed it in the 24-hour period in terms of liquidation. With a total value of $343.1 million, more long traders were liquidated than short traders, who accounted for just $42.79 million of the total.
Liquidation trigger
The overall liquidations totaling more than $385 million are the most the sector has seen in recent weeks. The $400 million in liquidations that were reported back in April, which was considered to be the industry’s most peculiar day of the year at the time, are less than the current total.
Since the United States Securities and Exchange Commission (SEC) classified popular cryptocurrencies like Cardano (ADA), Solana (SOL), and Polygon (MATIC) as investment contracts or securities, the catalyst for this present liquidation has become even more apparent. A indication of instability and overall uncertainty for the impacted cryptocurrencies, brokerage company Robinhood’s use of the tag indicates that it will delist the tokens before the end of the month.
