Binance’s CZ Addresses Crypto Crash As Long Liquidation Breaches $343 Million

Crypto Crash News: The Global cryptocurrency market registered a massive sell off on Saturday as fear among the traders spiked due to recent regulatory actions taken by the top Financial watchdog. The cumulative market cap dropped by more than 5% after registering a broad recovery over the past day. Binance CEO, Changpeng Zhao addressed the current market situation amid facing legal complications.

Also Read: Binance CEO Refers SEC’s Chat Evidence In Internal Staff Letter

Long Position Liquidations Lead Crypto Crash

As per the Coinglass data, more than 184k traders were liquidated in the last 24 hours. The total liquidation registered comes in at $387 million. Bitcoin, the world’s largest crypto witnessed most of the liquidation (approx worth $50 million) over the past day.

Data depicts that out of the cumulative liquidation of $387 million, 88% of the liquidation (approx worth $343 million) turns out to be long positions. While just $43 million worth of shorts were liquidated. This suggests that traders were betting on the market gains. However, Binance registered $151 million worth liquidation in the last 24 hours, where $129 million worth of long positions were liquidated.

The digital asset market witnessed a broad sell off as the biggest cryptos like Polygon (MATIC) and Solana (SOL) prices dropped by a massive 25% and 22%, respectively. Read More Crypto News Here…

CZ Dispersing FUD?

Changpeng Zhao, Binance Chief addressed the crypto crash stating that no one really knows why the market is going up or down. However, a lot of people claim to know the real reason and will often tag it to a single often wrong reason. He added that there are many traders in the market and everyone may have their own reason.

Also Read: XRP Lawsuit Verdict Might Prove Crucial For Coinbase, Binance: Attorney

Binance CEO flagged the false narrative where a person stated that “Binance converted its holdings to fiat”. He presented the fact that Binance fiat/stablecoin reserves decreased. The world’s largest crypto exchange crypto reserves increased over the past months/weeks, he added.

He mentioned the second narrative making rounds on social media which claims that $1.3 billion of altcoins on Robinhood could be sold. However, CZ added that he have no idea about that.