The overall cryptocurrency market appears to be bleeding, with major cryptocurrencies such as Bitcoin (BTC), Ethereum (ETH), and XRP (XRP) experiencing significant price drops. These declines in key assets have shifted overall market sentiment toward a bearish outlook.
$1.69 Billion Liquidation Shakes Crypto Market
This market shift has resulted in the liquidation of a significant $1.69 billion worth of leveraged positions from 558,704 traders in the past 24 hours, according to data from the on-chain analytics firm Mint glass.
The majority of these liquidations occurred in long positions, while short positions were left relatively unaffected. Of the $1.65 billion liquidated, $1.5 billion came from long positions, while only $178.21 million came from short positions.
This liquidation data indicates that the bulls have been hit the hardest by this price drop. Given current market sentiment, these liquidations may continue in the coming days unless there is a significant development in the market.
BONK and FLOKI lead the declines
Today, December 10, 2024, BTC, ETH, and XRP have experienced price drops of 2%, 6.5%, and 14.6% respectively over the past 24 hours. Meanwhile, BONK and FLOKI, two meme coins, have been the hardest hit by this price drop, with declines of 22% and 21.5% respectively over the same period.
Why is the crypto market falling?
Over the past month, the market as a whole has seen a significant rally, with some assets gaining 100%, others 200%, and a few even exceeding 400% in upside momentum. Notably, this rally occurred without any price corrections and followed the results of the US presidential election.
Time to accumulate or wait?
Given current market sentiment, this could be the perfect time to acquire prime assets as they appear to be trading at discounted levels according to experts on social media. Meanwhile, whales and institutions continue to increase their holdings, as reported by CoinPedia.