The cryptocurrency market faced sharp fluctuations, especially XRP, which demonstrated an abnormal rise in long liquidations.
Unusual Long Liquidations
On Wednesday, XRP was in the spotlight due to a record 721,735% increase in long liquidations. In just one hour, nearly $474,000 worth of bullish bets were liquidated, while short liquidations amounted to only $65.
Market Reacts to Price Fluctuations
XRP's price initially rose from around $2.27 to a local high of $2.36, followed by a rapid reversal. The price dipped below $2.29, triggering a cascade of margin calls. The high leverage used led to quick liquidation of long positions.
Overall Liquidation Statistics
In a 12-hour period, the total liquidations across the crypto market reached $103 million, with more than two-thirds attributed to long positions. XRP stood out against other affected assets: Bitcoin lost $11.75 million, and Ethereum saw $3.55 million in liquidations.
These events in the cryptocurrency market showcased how quickly liquidations can occur in high-leverage conditions. XRP found itself at the forefront, resulting in significant losses for traders.
