The volatility caused over $900 million in liquidations on crypto-tracked futures, impacting both longs and shorts (or bets on higher and lower prices.
Coinglass data showed 262,620 traders were liquidated, the total liquidations come in at $968.18 million
The crypto market had a pause on its rocket rally that began a week ago following the U. S. election, but investors can anticipate a resurgence in demand.
Bitcoin dropped to $85,300 on Tuesday, as seen on Binance data. On Monday, it increased by over 10% to reach a high of $89,623 at midnight.
Following a 33 per cent gain over the previous week, Ether was down 3 per cent on Tuesday. Bitcoin has dominated the digital space, holding a dominant share of just over 60% of the market
Longtime Bitcoin owners have not yet sold below $100,000, according to Bitwise Chief Investment Officer Matt Hougan, even though more investors are looking to get in on the rally. The fact that people have ceased selling is another aspect of this rally.
“Short sellers don’t want to get in the way of a freight train, and long-term owners are no longer willing to part with bitcoin below $100,000,” he wrote in an X post on Monday.
A Republican sweep could increase the current $3 trillion total crypto market valuation to $10 trillion by 2026, with price targets of $100,000 by the end of this year.
The overall cryptocurrency market increased by 80% this year, from $1.17 trillion in January. to over $3 trillion.