The recent volatility in the crypto market is showing signs of easing, highlighted by significant liquidation figures. Data from CoinGlass reveals that total liquidations have dipped to a notable $240 million over the last 24 hours, a substantial shift from the staggering $1 billion recorded on at least two occasions just a week earlier.
Bitcoin, Dogecoin, and XRP are in the spotlight as traders react to changing market conditions. The recent price drop of Bitcoin to the $94,000 range caught long traders off guard. According to the data, the total liquidations for Bitcoin amounted to $64.92 million, leading to losses of $44 million for long traders, while short traders faced losses totaling $20.92 million.
XRP, meanwhile, experienced even smaller liquidations, clocking in at $6.57 million. Here, short traders bore the brunt of the losses, racking up $3.65 million, with long traders holding on to the remaining amount. This past week has seen both highs and lows for XRP, featuring a remarkable leap in wallet growth along with a 253% gain over the month.
Dogecoin saw $9.2 million in liquidations, with losses split almost evenly between long and short traders. This uncertainty reflects a broader sentiment in the market as DOGE traders grapple with extensive volatility.
What lies ahead for the market? As volatility subsides, Bitcoin’s price appears to be embracing a consolidation phase, seemingly ignoring the typical “Santa Rally.” Currently, Bitcoin has slipped 1.45% in the last 24 hours, settling at $93,907.15. This marks a 13% drop from its all-time high (ATH) of $108,268.45 achieved just a week ago.
XRP and DOGE, like many other altcoins, share a close correlation with Bitcoin, which might restrict their growth potential. With all the movement among whales and various fundamentals surrounding these assets, the lack of upward momentum from Bitcoin could lead to prolonged downturns. Keeping a watchful eye on these developments will be key for traders and investors alike.
