Cryptocurrency Traders Lost Nearly $2 Billion in Liquidations

According to ByBit, on February 15, the cryptocurrency market saw the second-largest liquidation of long positions since the beginning of 2021.

At trading on February 14, bitcoin updated its all-time high and came close to the $50,000 mark, but before another important breakthrough in the market, a correction began, emptying the pockets of many traders. This is evidenced by ByBit data.

Bitcoin has set a new record at $49,531, according to CoinGecko. The $50,000 level is closer than ever, prompting many traders to take long positions in the flagship cryptocurrency.

However, the market had other plans in this regard. By the morning of February 15, BTC fell below the $46,000 mark, and the capitalization of the cryptocurrency market sank by $1 billion. According to ByBit statistics, the correction resulted in a massive liquidation of long margin positions. According to Bybt, losses from such liquidations reached $1.89 billion in the last 24 hours.

Data on the liquidation of cryptocurrency positions. Source: Bybt

BTC and ETH suffered the most

Bitcoin and Ethereum accounted for most of the liquidations — $90 billion for the two cryptos. XRP traders were also caught off guard by the correction. The Ripple project has grown steadily after falling 50% since the end of December, but as part of today’s correction, traders who have bet on a further recovery have lost almost $100 million.

Among the victims were also EOS, Litecoin (LTC), and  Cardano (ADA) — all of these currencies had previously renewed multi-year highs, and their capitalization has dropped by more than $50 million today.

This is the third-largest liquidation since early 2021. Traders lost $ 2.5 billion on January 10 when Bitcoin corrected from $41,000 to $30,000. On the same day, Ethereum fell from its all-time high of $1,350 to $900.

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