As the crypto markets abruptly crashed late on Thursday, data reveals that an unidentified single trader or trading entity lost $55 million on an ether trade against the binance usd (BUSD) on the cryptocurrency exchange Binance.The position, which included 38,986.528 ether (ETH), was closed out at a price of $1,434.According to the data, that represented about 30% of all liquidated futures on Binance.
The very high quantity for one trader shows that a big company or a big ether holding was severely hurt by yesterday’s sharp decline.With a surge in trading activity from $6 billion to over $20 billion across platforms, ether fell from $1,780 to as low as $1,560 in a matter of minutes.The asset then swiftly made up some of those losses as soon as news broke that American securities regulators will permit the trading of ether (ETH) futures ETFs.Friday evening in Asia, ETH was trading at slightly over $1,690, down 6% from the previous day.The market impact of the collapse of the cryptocurrency exchange FTX was greater than the price decline in ether that occurred during one of the biggest futures liquidations in over a year.
Data reveals that highly leveraged long positions, or bets on higher prices, were liquidated in a classic long squeeze situation amid unfounded allegations that SpaceX was liquidating its bitcoin holdings.The corporation merely reduced the holdings’ book value, which was perceived by sales in some segments of the market and resulted in selling pressure.In a time of low volatility, Bitcoin dropped 7% in the last day, marking its biggest decrease in recent months.However, among the majors, xrp (XRP), doge (DOGE), and bitcoin cash (BCH) led losses, plunging as much as 15%.