600 million dollars evaporated in 24 hours! Over 170,000 traders were liquidated 🚨

The market has just undergone a brutal cleansing. In the past 24 hours, positions worth up to 578.9 million dollars were liquidated in a series of liquidations, involving more than 170,000 traders. This is typically a direct result of extreme market volatility and excessive leverage, meaning that a large number of long or short positions were 'swept out' during price reversals.

This level of collective liquidation is often a signal of extreme short-term market sentiment, which may indicate that volatility is about to slow down or a reversal point is approaching. For the survivors, the market structure is thus reshaped.

💡 Key insight: High leverage is a double-edged sword. During increased volatility, it acts as an accelerator leading to liquidations. Monitoring global liquidation data can help sense the risks of market overheating and potential reversal points.

#Bitcoin #Ethereum #Cryptocurrency #TradingPsychology #MarketAnalysis #Liquidation #LeverageRisk