Disclaimer: The opinions expressed by our writers are their own and do not represent the views of U.Today. The financial and market information provided on U.Today is intended for informational purposes only. U.Today is not liable for any financial losses incurred while trading cryptocurrencies. Conduct your own research by contacting financial experts before making any investment decisions. We believe that all content is accurate as of the date of publication, but certain offers mentioned may no longer be available.
After yesterday's relatively calm trading session, the crypto market is back in the red zone, with 24-hour liquidations totaling $495 million. Cardano (ADA), one of the leading cryptocurrencies, was one of the biggest losers in today's trading session.
Crypto market bleeds
According to CoinGlass data, the crypto market experienced total liquidations reaching $495 million in the last 24 hours. A total of 130,553 traders were liquidated within this period, with the most significant single liquidation order valued at $17.15 million on Bitfinex exchange.
Godfrey BenjaminAlthough not the biggest, Cardano's liquidations contributed massively to the $495 million market liquidations. ADA experienced liquidations of $11.85 million. Of this figure, $8.73 million came from long traders, while short traders contributed $3.12 million.
This figure shows a liquidation imbalance of 94% compared. The current market situation is a significant reminder of how fast leverage can turn against traders.
Meanwhile, the biggest loser accounted for $301.39 million of the total market liquidations. About $186 million of liquidations were for long traders, leaving only $115 million in shorts. Other top cryptocurrencies that felt the market impact include Ethereum (ETH), XRP and Solana (SOL).
The Bitfinex, Bybit and Binance exchanges had the highest liquidations, with $144.8 million, $128.8 million and $91.32 million, respectively.
ADA's price outlook
ADA has seen steady accumulation over the past few months, with the price hitting the $1 mark.
Cardano's latest surge comes just a day after the U.S. government finalized documents outlining the establishment of its crypto reserve. That said, momentum is gone, at least for now. Liquidations unraveled leveraged positions, leaving traders reassessing their exposure.
As of this writing, ADA price was trading at $0.819, down 7.3% in the last 24 hours. At the same time, the trading volume has decreased by 11.5% to $2.6 billion, suggesting investors' dwindling interest in the coin. ADA is now the ninth-biggest cryptocurrency by market capitalization, trailing behind Dogecoin (DOGE).
Dan Burgin
Vladislav Sopov