Crypto Market Sees Heavy Liquidations Amid Price Drop
Cryptocurrency markets have experienced a significant downturn, with Bitcoin’s price plummeting to $81,000, resulting in massive liquidations across trading platforms. Over the past 24 hours, more than $1.68 billion in leveraged positions were forcibly closed, impacting approximately 267,370 traders. A staggering 93% of these liquidations came from long positions, reflecting traders’ expectations of a price rise that turned against them.
Bitcoin accounted for $780 million in liquidations, with Ethereum following at over $414 million. The largest single liquidation was an $80.57 million BTC/USDT trade on HTX exchange, highlighting the risks of high leverage. Hyperliquid exchange topped the charts with $598 million in liquidations, followed by Bybit ($339 million) and Binance ($181 million). Traders are reminded that liquidations occur when they are unable to maintain margin requirements on borrowed funds, triggering automated closures to cap losses.
Stock Futures React as Federal Reserve Chair Announcement Looms
U.S. stock futures retreated in early trading as investors awaited the announcement of the next Federal Reserve chair, expected to be revealed by President Trump on Friday. S&P 500 futures fell 0.6%, Nasdaq 100 futures dropped 0.7%, and Dow Jones futures declined 0.5%. Speculation surrounds several candidates, including former Fed Governor Kevin Warsh and current Fed governor Chris Waller.
Market analysts expect two quarter-point rate cuts by the end of the year, with the Federal Reserve having previously held rates steady. Major earnings reports from Exxon, Chevron, American Express, and Verizon are also anticipated to impact market sentiment.
Tech Stock Performance Highlights Market Movement
Technology stocks exhibited mixed results, with Microsoft shares tumbling 10% due to slower growth in its cloud computing division. This marked the company’s sharpest single-day drop since March 2020. Despite concerns about the cost of artificial intelligence initiatives, Apple shares rose by 1% after surpassing profit and revenue expectations. The company reported $143.8 billion in revenue, up 16% year-over-year, aided by strong iPhone sales.
In contrast, Sandisk shares jumped 11% after issuing optimistic future guidance, helping to offset broader tech market concerns. These contrasting performances underscore the evolving dynamics in the tech sector as companies navigate innovation and fiscal stability.
Why Staying Updated is Key in Volatile Markets
Whether you’re a crypto enthusiast or a stock market investor, understanding market movements is critical to making informed decisions. For those navigating the volatile crypto market, products like Ledger Nano X, a hardware wallet for secure cryptocurrency storage, can add an extra layer of safety to your investments.
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