Bitcoin, Ethereum Surge on Short Liquidation Wave

An additional phase of short liquidations was observed in Bitcoin and Ethereum, which resulted in a favorable momentum for the assets

The market is characterized by favorable sentiment, as evidenced by the $138.23 million in total crypto liquidations, as reported by Coinglass. Out of this total, short trading positions have liquidated more than $95 million, indicating a 71% advantage over long positions.

Typically, purchasing pressure is generated by an increase in short liquidations.

Ethereum is currently the most liquid asset on the chart, with $27.69 million in liquidations. This includes $3.85 million in longs and $23.84 million in shorts. At the time of writing, Ethereum (ETH) is trading at $2,730, representing a 3.1% increase in the past 24 hours.

Investors’ interest has prompted a 117% increase in its daily trading volume, reaching $17.4 billion.

The highest single liquidation order, valued at $6.64 million in the ETH/USDT pair, was executed on Binance, the largest crypto exchange by trading volume. This point is particularly noteworthy.

Bitcoin occupies the second position with $25 million in liquidations, consisting of $4 million in longs and $21 million in shorts. This resulted in the BTC price reaching a four-month peak of $69,460 earlier today.

Despite the most recent correction, Bitcoin is trading at $68,700, a 0.45% increase from the previous day.

The premier crypto asset’s daily trading volume, currently valued at $24 billion, increased by 74%.

According to CoinGecko data, the global crypto market cap has reached a three-month high of $2.49 trillion, as most prominent alt-coins have seen bullish gains.

The potential for substantial selling pressure to arise as traders attempt to mitigate their losses is present if long positions begin to liquidate.