The prevailing high volatility at the crypto market led to heavy losses of crypto investors’ funds at the wrong side of the present trade, when roughly $1.6 billion worth of crypto positions evaporated into thin air within a day.
What you must know: The mass liquidation of such crypto holdings, according to data retrieved from Bybt, showed that such occurred after the flagship crypto, Bitcoin, dipped from $38,300 to around $33,881 at press time.
- Within a day, 240,250 traders were liquidated.
- The largest single liquidation order happened on Huobi-BTC valued at $17.41 million.
- The crypto market was valued at $994.9 billion, a 0.51% decrease over the last day.
- The total crypto market volume over the last 24 hours is $229.62B, which makes a 45.77% increase.
- The total volume in DeFi is currently $14.17 billion, 6.17% of the total crypto market 24-hour volume.
- The volume of all stable coins is now $188.89B, which is 82.26% of the total crypto market 24-hour volume.
- Bitcoin’s price is currently $33,881.85.
- Bitcoin’s dominance is currently 63.31%, a decrease of 0.17% over the day.
What this means: Record sell-offs have pushed Bitcoin’s year-to-date gains below 1%. The sell-off in the crypto market is likely due to widespread profit-taking by global investors, coupled with the dollar gaining grounds.
A few weeks ago, leading United Kingdom financial regulator, the Financial Conduct Authority, issued a piece of stern advice on crypto investments.
The statement highlighted the risks associated with investing in Bitcoin and other crypto-assets and warned the public that there were high chances that all their funds could be lost.
“The FCA is aware that some firms are offering investments in crypto assets or lending or investments linked to crypto assets, that promise high returns.
“Investing in crypto assets, or investments and lending linked to them generally involves taking very high risks with investors’ money. If consumers invest in these types of products, they should be prepared to lose all their money,” said the FCA.