Crypto Futures Liquidation: A Shocking $727 Million Wiped Out in 24 Hours

Key Points

1. A staggering $126 million worth of crypto futures were liquidated in just one hour, contributing to a total of $727 million over 24 hours.

2. Bitcoin (BTC) and Ethereum (ETH) were the most affected, with $350 million and $200 million in liquidations respectively, primarily from long positions.

3. Liquidation occurs when a trader's leveraged position is forcibly closed by an exchange due to insufficient funds to maintain the position.

4. Such large-scale liquidations often occur during sharp price corrections and can catch traders off guard.

5. The event underscores the importance of risk management and disciplined trading strategies in the volatile crypto futures market.