About 91% of digital currency buying opportunities were liquidated

$ 620 million was liquidated yesterday from trading positions. The data show that 91% of liquidated traders were in the buying position.

to the Report Crypto Slate, digital currency traders on Monday, had a hard time as many of them started their day with double-digit losses. Significant market value of coins such as Ripple, Solana and Cardano lost millions of dollars in market value yesterday, while the prices of Bitcoin and Atrium fell by 6 and 7, respectively.

Market data show that the prices of digital currencies Solana, Cardano and Ripple fell by 7, 8 and 11 percent, respectively, yesterday. LUNA fell 11 percent and digital currencies Algorand and Theta fell 11 percent and 13 percent, respectively.

Liquidation occurs when derivatives traders borrow extra money from an exchange so that they can trade larger and make more profit with more capital and leverage.

Traders pay a fixed fee for this, however, when the balance of a trader’s account equals the loss in a trading position, the exchange closes the order at a predetermined price. In such circumstances, it is said that the transaction has been liquidated.

Data from the Bybt analysis tool show that $ 620 million has been liquidated from trading positions in the last 24 hours alone. Of that amount, more than $ 220 million went to Bitcoin and $ 162 million to Atrium.

$ 45 million of the liquidated orders belonged to Ripple, while the volume of liquidated trading positions of the digital currencies Solana, EOS, Cardano and Avalanche were $ 26, 14, 13 and 10 million, respectively.

Surprisingly, 91% of the traders who were liquidated yesterday were in a long (buy) position, meaning that most of the liquidated traders predicted that the price would continue to rise. Of the $ 620 million liquidated, only $ 52 million was for shorts (sales) positions.

Also read: What is the position of Short and Long? Make a profit by lowering the price!

The ByBit futures market, known for its inexperienced traders, has seen about $ 249 million in liquidity from trading positions, making it the largest digital currency exchange. Bainance, OKEx and FTX are next with $ 135, $ ​​117 and $ 76 million, respectively.

A total of 139,753 traders were liquidated yesterday. The largest liquidated order was related to one of the bitcoin transactions in the by-bit exchange, which was worth $ 7.17 million.