The recent conflict between Iran and Israel has had a significant impact on the cryptocurrency market, with over $495 million in liquidations taking place as a result. The strike by Iran on Israeli cities caused a bloodbath in the crypto market, leading to a bearish sentiment across the board.
During the strike, more than 160,000 crypto traders were forced to liquidate their positions, resulting in a total of $495 million being wiped out. The largest single liquidation occurred on Binance in the BTCUSDT pair, amounting to $12.66 million.
Of the total liquidations, long positions accounted for $416 million, while short positions saw $78 million being liquidated. This massive selloff indicates fear in the market and suggests a further decline in prices as bearish sentiment takes hold.
Major cryptocurrencies like Bitcoin, Ethereum, Solana, and Binance Coin all experienced price declines of over 1.85%, 3.2%, 4.5%, and 3.4% respectively in the aftermath of the Iran strike.
Amidst the bearish market sentiment, an Ethereum whale managed to profit during the decline by selling 29,480 ETH worth $76.8 million at an average price of $2,605. This move resulted in a profit of $2.34 million for the whale, indicating that they may have anticipated the market downturn before it occurred.
Currently, Ethereum is trading near the $2,480 level, with a 3.5% decline in the past 24 hours. Trading volume has increased by 45%, suggesting higher participation from traders and investors. However, future open interest for ETH has declined by 4.5%, indicating a hesitancy among traders to build new positions due to the prevailing fear in the market.
Overall, the conflict between Iran and Israel has had a significant impact on the cryptocurrency market, leading to a wave of liquidations and a bearish sentiment among traders. As the situation continues to unfold, it remains to be seen how the market will react in the coming days.