Ethereum

Cryptocurrency

Solana

Bitcoin

<p style="text-align: justify">You can also read this news on BH NEWS: <a href="https://en.bitcoinhaber.net/market-shaken-as-bitcoins-sudden-slide-triggers-massive-derivative-losses" rel="noopener noreferrer nofollow">Market Shaken as Bitcoin’s Sudden Slide Triggers Massive Derivative Losses</a><br></p>
<p style="text-align: justify">The <a href="https://en.bitcoinhaber.net/bitcoin-remains-attractive-to-investors-despite-market-uncertainty" rel="noopener noreferrer nofollow">Bitcoin</a> market faced a turbulent period as the cryptocurrency’s price took a sharp nosedive from a record peak, leading to widespread financial impacts. Crypto traders experienced significant losses, with a collective hit of over $1 billion due to the slump in the value of Bitcoin. This downturn, precipitated by a fall from an all-time high, also adversely affected altcoins, altering the cryptocurrency market landscape.</p>
<h2 id="drastic-reduction-in-crypto-open-interest">Drastic Reduction in Crypto Open Interest</h2>
<p style="text-align: justify">Crypto analysis firm Santiment reported that Bitcoin’s substantial price decline triggered a major contraction in open interest (OI) across various cryptocurrencies, including Bitcoin, <a href="https://en.bitcoinhaber.net/ethereum-climbs-back-spot-etfs-stir-market-excitement" rel="noopener noreferrer nofollow">Ethereum</a>, and <a href="https://en.bitcoinhaber.net/solanas-impressive-turnaround-and-future-value-insights" rel="noopener noreferrer nofollow">Solana</a>. The open interest represents the total value of active derivative contracts, and the decrease indicates a potential shift in market sentiment or trader behavior.</p>
<p style="text-align: justify">Bitcoin’s decline saw its open interest plummet by $1.46 billion, while Ethereum and Solana also faced reductions of $967 million and $424 million, respectively. This followed shortly after Bitcoin’s brief surge past its previous all-time high, igniting speculative trading that anticipated a further rise.</p>
<p style="text-align: justify">The analysis pointed out that the speculation was primarily fueled by traders who opened long positions expecting Bitcoin to break the $70,000 mark. Only a minor portion of the open interest decrease resulted from the liquidation of short positions during the peak.</p>
<p style="text-align: justify">Some market analysts view the decline in open positions as a temporary measure to curb speculation. As open interest fluctuates with market movements, recent increases had set records due to heightened expectations of Bitcoin reaching new price milestones.</p>
<h2 id="over-300-000-traders-hit-by-market-liquidation">Over 300,000 Traders Hit by Market Liquidation</h2>
<p style="text-align: justify">Cryptocurrency analyst Daan Crypto Trades revealed to his social media followers that the steep price drop of Bitcoin led to a significant liquidation event. It resulted in the elimination of many long positions, with total liquidations amounting to $1.13 billion over 24 hours, impacting roughly 312,500 investors. Despite the downturn, Bitcoin was still trading at $63,600, down 8% from its high the day before, reflecting the volatile nature of cryptocurrency markets.</p>
<h5><span style="font-weight:bold;font-size:16px">The post first appeared on BH NEWS: </span> <a href="https://en.bitcoinhaber.net/market-shaken-as-bitcoins-sudden-slide-triggers-massive-derivative-losses" rel="noopener noreferrer nofollow">Market Shaken as Bitcoin’s Sudden Slide Triggers Massive Derivative Losses</a></h5>

Market Shaken as Bitcoin’s Sudden Slide Triggers Massive Derivative Losses

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