After hitting a low of $56,500 on April 30, Bitcoin rebounded to a high of $62,109 by Friday, May 3, in response to the previous decline. This surge saw him liquidate $26.65 million worth of short Bitcoin positions in just four hours, and about 48,962 traders saw their positions liquidated in the past day.
Short sellers battle the rise of Bitcoin and the crypto economy
Bitcoin (BTC) price rose 4.5% against the US dollar on Friday, recovering from last week's decline that sent it below the psychological level of $60,000. Despite rising 4.5% in 24 hours, Bitcoin price remains 4.3% lower than its price seven days ago. After two days of stability, BTC's rally began at 8 a.m. Eastern Time (ET) on Friday.
At the time, the price of Bitcoin was hovering just above $59,000. However, increased buying activity pushed the price to an intraday high of $62,109 by 11 a.m. ET. Of the total trading volume of $89.19 billion in the virtual currency economy, Bitcoin accounted for approximately $33.28 billion. This rise in Bitcoin prices wiped out many short traders in the derivatives market.
According to Coinglass.com indicators, $26.65 million worth of short Bitcoin positions were liquidated within four hours. Short positions in ETH resulted in losses of $16.93 million, and short positions in SOL worth $4.51 million were removed from the market. According to statistics, nearly 50,000 traders were eliminated and $139.97 million was liquidated, of which $94.78 million was short selling or betting on rising crypto prices. Currently, the price of BTC has fallen from a peak of $62,000 to between $61,600 and $61,800 per coin in the past hour.