Bitcoin's Surge Triggers Bloodbath for Short-Sellers, Liquidating $233 Million

On October 24, 2023, Bitcoin (BTC) soared by 13%, driving the overall cryptocurrency market up by over 10%. This surge led to liquidations of $233 million in short positions, as traders betting against Bitcoin and Ethereum faced significant losses.

Bitcoin's Meteoric Surge: A Liquidation Bloodbath for Short-Sellers

Jakarta, Indonesia - October 24, 2023 - Bitcoin (BTC), the world's largest cryptocurrency, experienced a remarkable surge of 13% during morning trading, propelling its value to an impressive $35,108 per unit. This upward trajectory sent ripples throughout the cryptocurrency market, triggering a 10% overall increase.

However, this market surge proved catastrophic for traders who had placed short positions against Bitcoin and Ethereum. Within 24 hours, a staggering $233 million worth of crypto short positions evaporated into thin air.

A Tale of Two Positions: Long and Short

In the realm of trading, long and short positions represent opposite strategies. A long position is a bet on rising prices, where a trader purchases an asset with the expectation of selling it for a profit at a higher price in the future.

Conversely, a short position is a riskier maneuver where a trader borrows an asset they don't own, sells it on the market in anticipation of a price decline, and then repurchases it at a lower price to return to the lender, profiting from the price difference.

Cryptocurrency Market: A Sea of Green

The total value of the cryptocurrency market currently stands at approximately $1.3 trillion, reflecting a substantial 10% increase. In the past day, Bitcoin surged by 13%, while other major cryptocurrencies also posted impressive gains: Ethereum (ETH) rose 9%, Binance Coin (BNB) increased by 5%, and XRP and Solana both recorded 7% gains.

Liquidation Frenzy: Short-Sellers Sent Packing

The rapid price increase triggered a wave of ликвидации for traders who had shorted Bitcoin, effectively wiping out their positions after this impressive rally. Data from Coinglass reveals that in the past 12 hours, the market witnessed $51.91 million in ликвидации of long positions and a staggering $103 million in ликвидации of short positions.

Over the past 24 hours, ликвидации of short positions have reached $323 million, while long positions have suffered ликвидации totaling $104 million. Bitcoin contracts accounted for the vast majority of these ликвидации, representing $232 million out of the total $323 million in short positions liquidated.

Ethereum (ETH) also saw significant ликвидации of short positions, amounting to over $64 million, while Solana (SOL) short positions reached around $11.4 million. Additionally, ликвидации of short positions across various alternative crypto tokens totaled approximately $21.83 million.

Trading Volume Skyrockets

Coinglass data further indicates a surge in trading volume, reaching $203 billion in the past 24 hours, a remarkable 143% increase from the previous day. Open interest currently stands at almost $29.73 billion, marking a 4.55% increase.

Crypto Liquidations Reach Astounding Figures

Overall, the past day has witnessed a staggering $429.46 million in crypto ликвидации, encompassing both long and short positions.

Conclusion

Bitcoin's impressive surge has sent shockwaves through the cryptocurrency market, leaving short-sellers reeling from heavy ликвидации. As the market continues to evolve, traders must exercise caution and carefully consider their investment strategies.