After stabilizing for a week, the crypto sector once again finds itself in the red. As investors began to adjust to the uptrend, cryptocurrencies are flooding again. Similarly, more than 62,000 crypto traders have been liquidated in the crypto market.
The fall of bitcoin (BTC) and ether (ETH)
After weeks of bullishness, bitcoin, the main cryptocurrency, suddenly collapsed. Currently, the crypto is trading at $ 19,036 according to data from TradingView. Last week, most cryptocurrencies managed to go green.
After being above and below its support for a long time, BTC finally stayed above its $ 20,000 support. So bitcoin has fallen 3.72% in the last 24 hours. Its market capitalization fell from $ 1.27 trillion in November to less than $ 377 billion today.
Since most cryptocurrencies follow the course of BTC, ether (ETH), the second largest crypto also fell through market capitalization. In fact, Ethereum is down 6.7% and is currently trading at $ 1068. The cryptocurrency market is currently taking huge losses and investors have no savings.
Crypto-currencies are getting lost
Amid the current downturn, nearly 62,000 crypto traders have liquidated the crypto sector. In the last 24 hours, ETH has been liquidated to the value of approximately $ 62 million. Bitcoin comes in second at 59.95. In total, more than $ 180 million was liquidated during this period. There are many reasons for this recession. Among other things, pressure from miners to sell, high expectations for another Federal Reserve rate hike, and declining crypto trading volumes.
On May 20, 2021, the trading volume of cryptocurrencies currently amounted to 367.6 billion dollars per 50 billion. Faced with the cryptocurrency crisis, many miners are forced to sell their assets to stay in the market. Ever since bitcoin has traded below $ 30,000, long-term traders are increasing losses.
In the face of market uncertainty, investors are forced to liquidate their cryptocurrencies to compensate for losses. Some miners and long-term holders prefer to take the losses. Meanwhile, others are playing it safe as the market shows no signs of recovery.
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The world is changing and adaptation is the best weapon to survive in this turbulent universe. As a crypto community manager at the base, I am interested in everything directly or indirectly related to the blockchain and its derivatives. To share my experience and share an interesting field for me, there is nothing better than writing informative and reassuring articles at the same time.