ETH Surge Triggers Over $750 Million in Short Liquidations
A significant crypto rally was triggered by a 20% surge in ether, leading to over $750 million in short liquidations within 24 hours, marking the highest single-day total since 2023.
- Over 84% of these liquidations originated from short positions.
- Major altcoins including DOGE and ADA increased more than 10%, while SOL, BNB, and XRP rose at least 7%.
- Liquidations occur when traders cannot meet margin requirements, resulting in forced closure of leveraged positions.
- The rally coincided with bitcoin trading above $100,000 and positive sentiment from a trade deal between the U.S. and UK.
- This event surpassed previous liquidations seen during Bitcoin's rise to $93,000 in March.
- Binance and OKX were responsible for over $500 million in liquidations; ETH accounted for over $310 million.
- The recent Pectra upgrade may have influenced trader confidence in Ethereum.