Market volatility wipes $360M from long and short traders Market volatility wipes $360M from long and short traders
Bitcoin's sudden price movement was fueled by rumors that the U.S. government and bankrupt crypto exchange Mt.Gox were selling.
2 min read
Updated: Apr. 27, 2023 at 10:44 am UTC
Cover art/illustration via CryptoSlate. Image includes combined content which may include AI-generated content.
Bitcoin briefly climbed above $29,000 during early trading hours after experiencing high volatility that liquidated $178.78 million in the last 24 hours.
False alarm triggers sell-off
On April 26, the flagship digital asset had rallied toward $30,000 before suddenly dropping to around $27,200. The sudden price movement was fueled by rumors that the U.S. government and bankrupt crypto exchange Mt.Gox were selling the assets.
Blockchain analytical firm Arkham Intelligence countered that its alert couldn’t have caused the panic because it was sent after the market crash.
Meanwhile, Matrixport chief researcher Markus Thielen noted that the market should be well aware of the eventual distribution of those BTC. According to Thielen, the potential market impact of those distributions would not be a big deal.
Over $350 million wiped from crypto market
Following the sell-off, roughly $362 million was liquidated from over 80,000 traders in the last 24 hours across the broader crypto market.
Coinglass data shows that most liquidations occurred on OKX, Binance, and ByBit. The three exchanges accounted for 78% of the overall liquidations — of which nearly 60% were long positions.
Other liquidated assets include Ethereum (ETH) and Arbitrum (ARB) — with $72.97 million and $7.95 million, respectively. Others like Dogecoin (DOGE), Litecoin (LTC), XRP, etc., recorded liquidations of less than $6 million each.
Crypto market recovering
After the massive panic sell-off of the preceding 24 hours, the crypto market appears to recover.
Flagship digital assets like Bitcoin, Ethereum, and Cardano have posted mild gains during early trading hours, according to CryptoSlate data.
Meanwhile, other leading assets have lost value. Binance Coin (BNB) is down 2.04%, while XRP declined 1.87%. Dogecoin, Polygon, and Solana shed less than 1%, respectively.
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Author 
Oluwapelumi Adejumo
Oluwapelumi values Bitcoin's potential. He imparts insights on a range of topics like DeFi, hacks, mining and culture, underlining transformative power.
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In this article
Bitcoin, a decentralized currency that defies the sway of central banks or administrators, transacts electronically, circumventing intermediaries via a peer-to-peer network.
Ethereum
$3,328.69
Ethereum is a decentralized, open-source blockchain platform that enables the creation of smart contracts and decentralized applications (DApps).
Dogecoin
$0.38579
Dogecoin is a cryptocurrency created in December 2013 as a joke by software engineers Billy Markus and Jackson Palmer.
Solana
$249.596
Solana is a high-performance blockchain platform that utilizes a unique consensus algorithm called “Proof of History” to achieve fast transaction speeds and low fees.
Polygon
$0.44988
Polygon, a prominent layer 2 scaling solution on Ethereum, has emerged as a multifaceted and scalable platform, enhancing the Ethereum ecosystem’s capabilities.
Arbitrum
$0.79179
Arbitrum is a type of technology known as an optimistic rollup.
Cardano
$0.78712
Cardano is a decentralized public blockchain and cryptocurrency project and is fully open source.
Mt. Gox
Mt Gox was a bitcoin exchange based in Shibuya, Tokyo, Japan that was launched in July 2010.