Short-sellers see max pain as crypto market pumps following inflation report

Published

2 weeks ago

March 14, 2023

Short-sellers see max pain as crypto market pumps following inflation report Assad Jafri · 6 hours ago · 2 min read

CoinGlass data shows over 85% of the $151.24 crypto liquidations over the period were short positions — amounting to roughly $130 million.

2 min read

Updated: March 14, 2023 at 5:40 pm

Cover art/illustration via CryptoSlate

Crypto short-sellers saw massive liquidation in the past four hours as the market pumped on the back of inflation numbers remaining within expected bounds.

CoinGlass data shows that more than 85% of the $151.24 crypto liquidations over the period were short positions — amounting to roughly $130 million as of press time.

Meanwhile, long liquidations over the same time stood at a little over $21 million as of press time — less than 15%.

Meanwhile, liquidations hit $223.65 million in total over a 24-hour time frame — with short liquidations amounting to $175.82 million and longs amounting to $48.76 million.

Approximately 57,721 traders were liquidated over the last 24 hours.

BTC liquidations

Over the past four hours, a little over $57 million was liquidated in BTC short positions as the flagship crypto breached $26,000. Long liquidations over the period stood at $11.71 million.

BTC was trading at $25,927 as of press time after getting rejected by resistance at $26,500.

Total BTC liquidations over the last 24 hours amounted to $103.61 million — $49.15 million of which was liquidated in the last four hours.

ETH liquidations

Ethereum short-sellers saw similar pain over the period, with a little under $40 million in short positions liquidated in the last four hours. Long liquidations stood at $4.65 million.

Roughly $56 million in ETH positions were liquidated over the past 24 hours in total — with about $21 million liquidated in the past four hours, as of press time.

The largest single liquidation was an ETHUSD position and totaled $10.01 million, according to CoinGlass data.

Exchange numbers

The vast majority of liquidations over the past 24 hours — 34.28% — took place on Binance. Short liquidations made up 73.53% of the $75.83 million total and stood at $55.76 million.

OKX saw the second most liquidations — 22.08% — over the period, with short liquidations on the exchange amounting to $42.07 million. Total liquidations on the exchange stood at $48.84 million.

Bybit also saw a significant percentage of liquidations — 18.1% — over the period, with shorts contributing $27.47 million of the $40.04 million total.

Biggest Movers: Cardano Moves To 6-Week High, Climbing By Over 6% On Friday

Published

2 hours ago

March 31, 2023

Eliman Dambell

Biggest Movers: Cardano Moves To 6-Week High, Climbing By Over 6% On Friday

Cardano moved to a six-week high on Friday, as consumer sentiment in the United States fell by more than expected. The University of Michigan’s monthly report fell to a reading of 62 in March, lower than the 63.2 sum markets were expecting. Chainlink also climbed, breaking out of a key resistance level.

Cardano (ADA)

Cardano (ADA) surged to a six-week high in today’s session, as markets reacted to the latest University of Michigan consumer sentiment report.

Sentiment in the United States fell to a reading of 62 in March, from a final sum of 67 the month prior.

ADA/USD surged to a peak of $0.4025 earlier in today’s session, following a low of $0.3709 on Thursday.

ADA/USD – Daily Chart

This move saw cardano climb to its strongest point since February 21, when the token reached a high of $0.4061.

Overall, the surge came as the 14-day relative strength index (RSI) moved beyond a ceiling at the 60.00 mark.

At the time of writing, the index is tracking at 63.67, which is close to a highest point of resistance at 64.00.

Chainlink (LINK)

Chainlink (LINK) rebounded from Thursday’s losses in today’s session, with the token climbing by as much as 5%

Following a low of $7.17 yesterday, LINK/USD raced to an intraday high of $7.65 on Friday.

As a result of the rally, chainlink once again moved above its long-term resistance at $7.55, hitting a one-week high in the process.

LINK/USD – Daily Chart

Looking at the chart, today’s breakout coincided with the RSI climbing past a ceiling of its own at 55.00

As of writing, the index is tracking at 57.54, which is marginally below a higher hurdle at the 58.00 point.

Should bulls move beyond this point, then there is a good chance that LINK will move towards $8.00.

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Tags in this story

Do you expect chainlink to extend this rally into the weekend? Let us know your thoughts in the comments.

Eliman Dambell

Eliman was previously a director of a London-based brokerage, whilst also an online trading educator. Currently, he commentates on various asset classes, including Crypto, Stocks and FX, whilst also a startup founder.

Image Credits: Shutterstock, Pixabay, Wiki Commons

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Analysis

XRP Perpetual Futures Open Interest skyrockets to $610 million

Published

4 hours ago

March 31, 2023

Samuel Wan

XRP Perpetual Futures Open Interest skyrockets to $610 million Samuel Wan · 2 hours ago · 2 min read

The XRP derivative market indicates strong positive sentiment, some expect the SEC lawsuit to conclude soon.

2 min read

Updated: March 31, 2023 at 3:09 pm

Cover art/illustration via CryptoSlate

XRP Perpetual Futures Open Interest (PFOI) has shot up significantly since March 24 to around $610 million at its peak.

Open interest refers to the number of open futures contracts traders hold at the end of a trading day. It is commonly used to gauge market sentiment and the strength underlying price moves.

Whereas perpetual futures are a form of derivative contract, with no expiration date, that is cash settled – as opposed to settled in the underlying asset.

XRP perps skyrocket

Analysis from the data platform Kaiko showed a spike in XRP PFOI.

Since the start of March, XRP PFOI had been holding relatively steady, at around $300 million. However, on March 22, a significant jump in PFOI occurred – spiking as high as $500 million.

Through to March 26, a downtrend followed. But as we entered this week, futures traders began piling in to lift XRP PFOI much higher – peaking at $610 million on Wednesday.

Source: @KaikoData on Twitter.com

Further analysis from Kaiko showed spot XRP daily trading volume rising and falling in tandem with PFOI – with a monthly peak at around $2.5 billion on two occasions.

The chart below shows spot volumes being primarily driven by the Korean market.

Source: @KaikoData on Twitter.com

SEC lawsuit drawing to a close?

In December 2020, the SEC filed charges against Ripple over allegations it had raised over $1.3 billion through the unregistered XRP token.

“the defendants failed to register their offers and sales of XRP or satisfy any exemption from registration, in violation of the registration provisions of the federal securities laws.”

Since then, both sides have stated their case, with many observers noting the fragility of the regulator’s arguments.

While many XRP advocates expect a favorable decision, Judge Torres has yet to give her final verdict.

Some in the XRP community expect the outcome to be delivered before March 31. However, there has been no official confirmation of this deadline.

It should be noted that this date was a predictive estimate from James Filan – a lawyer who has been monitoring this case.

The daily chart below shows anticipation of the case conclusion filtering into the spot price around March 22. Since then, XRP recorded 57% gains at its peak – to post a 46-week high.

Source: XRPUSD on TradingView.com

Analysis

Bitcoin, Ethereum Technical Analysis: BTC Drops Below $28,000, ETH Under $1,800

Published

6 hours ago

March 31, 2023

Eliman Dambell

Bitcoin was once again trading below the $28,000 level on Friday, as markets consolidated ahead of a key day of economic data. The University of Michigan releases its monthly consumer sentiment report, which is expected to come in lower than February’s sum. Ethereum also declined in today’s session.

Bitcoin

Bitcoin (BTC) fell below the $28,000 level on Friday, as markets consolidated ahead of a key day of economic data.

BTC/USD slipped to an intraday low of $27,583.72 in today’s session, which comes a day after the price rose to a high of $28,683.53.

The decline came as traders were unable to sustain a breakout above the $28,500 level, following a nine-month high the day prior.

Overall, it appears that earlier bulls moved to secure gains, as the 14-day relative strength index (RSI) collided with a ceiling at 65.00.

As of writing, the index is tracking at the 60.84 level, which is marginally above a lower floor at 59.00.

BTC is now trading at $27,928.58, however there will likely be some movement following this afternoon’s data release.

Ethereum

Ethereum (ETH) was once again trading below $1,800, as prices failed to breakout from a recent key resistance point.

Following a high of $1,827.28 on Thursday, ETH/USD fell to an intraday low of $1,766.25 in today’s session.

Friday’s sell-off transpired as ETH bulls were unable to move beyond a long-term ceiling at $1,830.

The world’s second largest cryptocurrency is now trading at $1,795.69, which seemingly suggests that some bullish sentiment still remains in the market.

This seems to be a result of price strength failing to drop below a floor at 52.00, and it has since moved to a reading at 57.35.

Should the RSI surge past the 58.00 mark, which is the next visible point of resistance, then ETH will likely be back above $1,800.

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