Crypto Market Sees $2.1 Billion in Liquidations Over 24 Hours

Rapid position unwinding drives one of the largest single-day liquidation totals in recent market activity.

Summary

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Terms & Concepts
  • Liquidation: The forced closure of a trader's leveraged position when margin requirements are no longer met.
  • Leverage: Using borrowed funds to increase potential returns, which also raises risk of liquidation.
  • Unwinding: The process of closing out trading positions, often rapidly during market volatility.