Heavy Crypto Liquidations Exceed $491 Million in 24 Hours
Following Bitcoin's inability to reach the $100K target, traders shifted focus to altcoins, leading to significant rallies in previously stagnant projects like XRP, Cardano, and Stellar, each gaining over 100 percent within a week.
Many large and mid-cap altcoins recorded double-digit percentage gains. This surge has led to increased volatility and forced liquidations in the market.
Recent data indicates that over 186K crypto traders experienced more than $491 million in forced liquidations in just 24 hours, with long traders accounting for over $360 million of this total.
The highest forced liquidations occurred in Bitcoin trading pairs at approximately $80 million, followed by Ethereum at around $43 million. In the altcoin sector, Dogecoin, XRP, XLM, and The Sandbox saw liquidations totaling about $32 million, $30 million, $17.5 million, and $24 million respectively.
What Next for the Crypto Market
The recent wave of liquidations suggests the beginning of a potential altseason. Bitcoin dominance has surpassed 61 percent and is forming a macro reversal pattern. Diminishing returns imply that major gains for Bitcoin may have already been realized, indicating better opportunities in altcoins.
$BTC dominance is now at 59%. My guess is that dominance topped out days ago and is heading to 35%.
In other words: altseason has just started. pic.twitter.com/JK59tRiPit
— Alejandro₿TC (@Alejandro_XBT) November 24, 2024
Altcoins like Dogecoin, XRP, and Solana have seen increased demand, evidenced by XRP whales buying over 50 million units in the last 24 hours.
Speculation surrounding a spot Solana ETF in the U.S. remains high, especially post-January when President-elect Donald Trump takes office. The Solana ecosystem has recently outperformed Ethereum in on-chain activity, driven by meme coin popularity.
Top Altcoins to Consider Ahead
As bullish momentum builds in the altcoin market, certain projects are poised for breakout. For example, Immutable (IMX) has rebounded from a support level above $1, indicating potential for further gains. Additionally, metaverse-focused projects are gaining traction due to rising NFT demand.
Chainlink is another notable altcoin, having surged over 23 percent last week to approximately $18.33 during the mid-London session. With a fully diluted valuation around $18 billion and a daily trading volume of about $1.5 billion, Chainlink has garnered significant interest from both retail and institutional investors.