Bitcoin (BTC) rally above $20,500 causes massive liquidations

The crypto market has seen some recovery today with the prices of the majority of cryptocurrencies registering significant price surges. Bitcoin (BTC) price had, for example, surged by more than 6% to trade above $20,600 at press time. Ethereum (ETH) price on the other hand had gained 14% over the last 24 hours to trade above $1,500.

In general, the global crypto market cap had increased by about 7.29% over the last 24 hours to about $996.83B.

Over $1.1 billion worth of liquidations

The sudden surge in crypto prices has resulted in massive liquidations mostly from traders who had shorted the bear market.

In total, contracts worth about $1.1 billion according to Coinalyze have been liquidated over the past 24 hours. Perpetual contracts accounted for a majority of the total liquidations with about $1 billion worth of liquidations. Futures contracts only saw liquidations worth about $6.8 million.

In terms of the type of trades, the bulk of these liquidations were from short positions which saw liquidations worth over $908.1 million in the last 24 hours with perpetual short positions seeing liquidations worth about $901.6 million.

Long positions from traders who mistimed the bull rally also saw their positions liquidated due to the return of volatility. In total, according to Coinalyze, about $142.1 million worth of long positions have been liquidated over the past 24 hours.

FTX sees the most liquidations

Crypto exchange FTX registered over $745 million in short liquidations and over $115 million in long liquidations. Binance follows in the second position with over $56 million in short liquidations and over $14 million in long liquidations.

OKX exchange has seen $39.58 million worth of short liquidations and $4.40 million worth of long liquidations. Bybit comes at position four with $31.30 million worth of short liquidations and $4.46 million worth of long liquidations.