139,079 traders were liquidated in all, while the largest single liquidation order happened on was an ETH trade for $74.5 million on crypto exchange Huobi.
Inside the Ethereum rampage
‘Liquidations,’ for the uninitiated, occur when leveraged positions are automatically closed out by exchanges/brokerages as a “safety mechanism.”
Futures and margin traders—who borrow capital from exchanges (usually in multiples) to place bigger bets—put up a small collateral amount before placing a trade. If the market moves against them, the collateral is fortified and the position said to be ‘liquidated.’
Yesterday, ETH traders took the brunt of these liquidations. Bybt shows over $542 million (159,000 ETH) was liquidated as traders bet on even higher prices. Of that chunk, traders “short” on the asset (meaning those…
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