$170 million in crypto longs were liquidated as Bitcoin experienced a significant plunge below $57,000. The asset saw a decline of more than 3% over the past 24 hours, marking its first drop to $55,600 since early August.
This bearish trend affected the entire crypto market, with altcoins also seeing similar or worse returns. The derivatives market witnessed severe liquidations, with $200 million in contracts liquidated in just 24 hours. Approximately 85% of these liquidations were long positions.
Bitcoin accounted for $55 million of the liquidations, followed closely by Ethereum, which saw over $50 million in contracts liquidated. Solana wasn't far behind, with liquidations under $13 million.
The open interest for Bitcoin has cooled down as the mass liquidation event took place, suggesting that new speculators have not yet entered the market. This trend might hint at a possible period of stability for Bitcoin's price.
