Significant Ethereum Price Correction Amidst Broad Market Downturn
Ethereum (ETH) recently experienced a notable price correction, impacting market sentiment across the broader digital asset landscape. This rapid depreciation highlights the inherent volatility within the cryptocurrency sector.
Key Market Movement and Price Action
Over a concentrated eight-hour trading window, the second-largest cryptocurrency by market capitalization, Ethereum (ETH), registered a significant depreciation. The asset shed approximately 9% of its value during this period.
This rapid descent saw ETH’s price touch levels around $2,933, marking a critical point for many leveraged positions.
Massive Long Liquidations Fuel Decline
The sharp downward movement in Ethereum’s price triggered a substantial wave of liquidations across various derivatives platforms.
- Specifically, long positions—bets on price increases—exceeding $670 million were forcibly closed by exchanges.
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Such large-scale liquidations occur when leveraged traders’ collateral falls below the maintenance margin, leading to automatic sell-offs that can further exacerbate price declines and contribute to
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