Ethereum overtakes Bitcoin in liquidations: Volatility shapes the cryptocurrency markets

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The current volatility of the cryptocurrency markets: a look at Ethereum and Bitcoin

The cryptocurrency markets are currently experiencing considerable volatility, which is clearly reflected in the liquidations of the past 24 hours. Ethereum (ETH) recently took the lead and put Bitcoin (BTC) in the shadow.

Current market development and liquidations

The latest data from Coinglass show that Ethereum has suffered liquidations worth over $ 135 million in the last 24 hours, while Bitcoin was also affected and recorded losses of $ 118 million. Overall, the liquidations amounted to $ 443 million during this period, with the majority-$ 398 million-from long positions and almost $ 45 million from short positions.

causes of liquidations

The liquidations at Ethereum are a direct result of the latest price movements. ETH lost the 2,000 dollar support line and even fell to less than $ 1,900. This development led to the forced development of numerous leverage positions in large trading areas. Traders, which had taken over excess levers, were forced to liquidate their positions, which led to significant losses.

The importance of Ethereum in derivative trading

The interest and activity around Ethereum increase, which is reflected in the recent dominance of the liquidations. The fact that ETH Bitcoin has overtaken in this regard indicates that Ethereum is not only seen as a valuable cryptocurrency, but also as an increasingly risky asset class in derivative trading. This dynamic could be of interest to investors and market observers because it increases the risk of sudden price movements.

market psychology and future prospects

The rising liquidations indicate a intensifying market situation in which investors react to increasing sales pressure. This behavior could indicate a sudden change in mood in the market, which could lead to further volatility phases. Analysts believe that this not only has short -term effects, but also could influence the long -term stability and price development of Ethereum and Bitcoin.

comparison to previous events

It is not the first time that Ethereum has the upper hand in a market in a market with acute volatility. Calculations from the past few weeks, especially in May and August 2023, show similar patterns in which Ethereum has suffered more massive liquidations compared to Bitcoin. These recurring trends are important for investors because they can give insights into future market developments.

The current situation in the cryptom market underlines the challenges and opportunities that both Ethereum and Bitcoin face. Investors should follow the developments carefully in order to be able to make sound decisions.