Altcoins
Ethereum Suffers Most Liquidations Due to Panic Selling
With Bitcoin price crashing to $55,000, the panic in the altcoin market remains even more pronounced. Ethereum and almost all of the top ten altcoins have dropped between 10 and 20% with the ETH Price losing crucial support at $3,000.
Altcoin Market Crashes, Ethereum Faces Most Liquidations
In a major shakeup in the cryptocurrency market, 221,704 traders were liquidated in the last 24 hours according to data from Coin glassThe largest liquidation order took place on Binance in the ETH/USDT trading pair, valued at $18.48 million.
On the hourly chart, Ethereum liquidations have surpassed those of Bitcoin so. Over the last hour, the total Ethereum Liquidations have climbed to $44.5 million, while ETH liquidations over 24 hours stand at $107 million. Liquidations of other altcoins have also increased significantly.
Despite all the developments suggesting a Ethereum Spot ETF coming up by the end of July, ETH price has reacted negatively and is largely in line with the broader market correction.
Ethereum developer Anthony Sassano has expressed his views on the current state of the ETH market, raising potential leaks of Grayscale’s ETHE. Sassano noted that ETHE has been trading at a discount of less than 2% for months and is now at a high price, raising questions about how many investors are waiting for it to convert to an ETF before selling.
Sassano also highlighted the uncertainty surrounding ETHE’s fee structure after the conversion. He suggested that fees could be much lower than expected, or even waived temporarily to attract investors to Grayscale’s mini-trust.
Read also : Ethereum Doubles Bitcoin’s Network Fee Revenue
FUD reaches historic levels
As the cryptocurrency market continues to decline with increasing intensity, fear, uncertainty, and doubt (FUD) are increasingly present on social media platforms. On-chain data provider Santiment reported that “sell” mentions have outnumbered “buy” mentions with each passing hour.
There have been several examples of this trend over the past 24 hours, with the ratio of negative to positive comments reaching its highest level in 2024. Santiment suggests that for bold traders, this period of heightened negativity could present an opportunity to adopt a contrarian strategy and buy into the market amid widespread anger and frustration.
Courtesy: Santiment
Among altcoins, the entire memecoin sector fell even more heavily, with all major memecoins losing between 17% and 25%. It will be interesting to see if these memecoins will bounce back or if this will mark the end of memecoin mania.
Read also : Ethereum Whale Threatened With Liquidation, ETH Price Falls