Los Angeles (CoinChapter) – The price of Bitcoin continued to fall on Wednesday, as it has now dropped 3.53% of its value over the past 24 hours. At press time, the leading cryptocurrency was trading at $56,753.
The Bitcoin price plunge had an adverse effect on the entire cryptocurrency market in general, as Ethereum fell below the $2,000 mark. Various altcoins such as ADA, DOT, UNI, LTC and LINK also plummeted.
The pullback resulted in around $2.2 billion worth of longs being liquidated, marking a major victory for bears. About 89.19% of that total — $1.8 billion — was liquidated in the last 24 hours alone.
Major crypto exchange Binance saw around 51% of all liquidations occur on its platform. Bybit and Huobi also accounted for a major percentage of the longs that were sold off.
Bitcoin futures made up majority of the liquidations
Moreover, Bitcoin futures made up about $610,000 of the liquidations. XRP ($312,000) and Ethereum ($281,000) were right behind BTC in terms of total liquidations.
Another ripple effect of the Bitcoin price correction is that the Kimchi premium crashed. This came on the heels of BTC briefly trading above $70,000 in South Korea.
Events like this typically foreshadow an impending Bitcoin price crash, and that again proved true this time around.
XRP surge caused liquidations worth $182 million in 24 hours
XRP recently posted a three-year high value of $0.944 as it continues its surge to $1. However, the rally caused over $182 million worth of liquidations in a 24-hour span.
The liquidations were a result of XRP pumping from the $0.65 price area. Roughly $81 million of the total XRP liquidations were short positions, and it temporarily surpassed Bitcoin in that area.
What’s more, traders who were overleveraged on their longs were also liquidated to the tune of $75.04 million.
The push to $1 has helped XRP take the No. 5 position on CoinMarketCap; The altcoin is now ahead of Cardano, Polkadot and Uniswap. XRP is now closing in on surpassing Tether for the No. 4 spot.