The crypto market started this week with heightened volatility, leading to numerous liquidations of long positions, particularly affecting Ethereum investors.
Whale Loses $306 Million in Ether
A whale betting on Ethereum's growth lost hundreds of millions after ETH price dropped sharply. The investor was liquidated for 160,234 ETH ($306.85 million) as ETH fell below $1,805. Earlier today, Ether's price hit a low of $1,760.94.
Nearly $1 Billion Liquidated
This whale's loss is part of a broader market phenomenon, where many investors have faced substantial losses since the start of the week. Over the past 24 hours, approximately $1 billion has been liquidated in the market, with ETH suffering the most, reaching its lowest point since December 2023.
Causes of Market Downturn
Several factors explain the market's volatility. The primary reason is recession fears. Recent statements by President Trump about a possible 'transition period' in the economy have caused investor anxiety. Whales are also making large transfers, indicating potential asset offloading and further price drops.
The current situation in the crypto market highlights the dangers of high leverage in unstable market conditions and the need for cautious investment strategies.
