Ether Futures Lead $1.2B in Liquidations, Crypto Market Cap Drops 16% Overnight

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Ether (ETH) futures led liquidation losses in the past 24 hours as crypto markets lost over 16% of their overall capitalization. shauryamalwa reports.

Liquidations in the crypto market happen when a trader has insufficient funds to fund a margin call – or a call for extra collateral demanded by the exchange to keep the trading position funded. They’re especially common in high-risk trading due to the high volatility of assets. It occurs in both margins and futures trading.

Traders of ether futures lost $333 million to liquidations as the asset lost 22% to drop under the $1,900 level. This was the highest among all cryptos, with bitcoin futures seeing $330 million in losses and futures tracking Terra’s LUNA racking up $130 million in losses.Losses exceeded $1.2 billion in the past 24 hours, the highest so far this year. They came as major cryptocurrencies saw steep drops: Bitcoin fell 11%, BNB Chain’s BNB lost 26%, and Solana’s SOL lost 37%.

Crypto exchange OKX saw $393 million in liquidations, the highest among all crypto exchanges, followed by Binance at $389 million and Bybit at $155 million. Data shows 83% of all futures were long, or betting on higher prices, despite weakness in the overall market earlier this week. Much of the

 

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shauryamalwa They have lost a huge amount of usdt, terrible

shauryamalwa Does anybody know where this liquidation money goes ? Who takes them

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