Crypto Crash: Liquidation Breaches $250 Million; Bitcoin To Slide Below $22K?

Crypto Crash News: The Global digital asset market registered a free fall on Friday after the recent Silvergate Captial Corp. Fiasco. The cumulative market cap dropped by more than 4% over the past day to stand at $1.03 trillion. However, the 24-hour trading volume spiked by 21% to stand at $55.4 billion as the investors rush to move their funds in the tumbling market.

Crypto Crash: $185 Mln Liquidated In 45 Minutes

As per the data provided by CoinGlass, over 84K traders liquidated more than $251 million in the last 24 hours. The single largest liquidation order registered by the tracker has been $4.16 million. It took place on the OKX crypto exchange.

Around $200 million worth of crypto futures were liquidated within just 4 hour period while around $185 million were liquidated in just around 45 minutes.

Bitcoin (BTC), the world’s largest digital asset dropped to the lowest level in about two weeks due to latest crypto market crackdown. Bitcoin price declined by more than 4% in the last 24 hours. BTC is trading at an average price of $22,399, at the press time. Around $83 million were liquidated from Bitcoin in the last 24 hours.

What Led To Market Crash?

The latest crypto crash is the aftermath of troubles faced by Silvergate Capital Corp, a crypto friendly bank. However, it is now reviewing whether it can remain viable or not. As per reports, several digital asset exchanges and stablecoin issuers rejected initiating payments through Silvergate.

However, there are several reasons behind the recent crypto crash which led to a massive liquidation. First, Coinbase went on to suspend Silvergate payments then the U.S. Securities and Exchange Commission (SEC) warned the investors that crypto exchanges are not safe.

Later, Crypto.com decided to suspend Silvergate payments and the crashed crypto exchange, FTX accepted $8.9 in missing funds.