Uncertainty regarding investors saw Crypto markets take a huge dip after a public spat between former US President Donald Trump and billionaire Elon Musk.
The fallout wreaked havoc on the major exchanges, causing widespread liquidations and ushering in the decline of leading cryptocurrencies.
Massive liquidations follow market drop
As Coinglass data revealed, in the last 24 hours, 227,000 traders were liquidated, resulting in $983 million in losses. Of the total $892 million, long positions made up that amount. More than any, the most significant liquidation was on Bitmex, with an XBT/USD position for $10 million. The record total liquidations were by Bybit, which totalled $353.81 million, over 90 percent, or $333.94 million, of which were long positions.
Bitcoin’s price has dropped 3 percent to $102,316. Long positions held $308.11 million worth of liquidation, which toppled a total of $339 million. $58.88 billion of BTC faced an increase in trading volume of 35.27 percent. Ethereum plunged 7 percent to $2,445 and suffered $284.7 million in liquidations, $260 million of which were from long traders. The ETH volume increased 46.21 percent to a top of $26.13 billion.
Altcoins see mixed reactions
TRUMP, Donald Trump’s token, dropped nearly 11 percent to $9.657. In fact, $8.5 million in liquidations transpired, with $7.55 million being from long positions. Solana was down 3.10 percent to $147.44 and got hit with $50 million in liquidations, $46.98 million of those long contracts. The loss for XRP was 3.09 percent and traded at $268, while $23.4 million was liquidated and $22.72 million was from long positions.
$27.12 million worth of DOGE got liquidated based on the long side, $23.44 million, whereas DOGE slumped 6.86 percent to $13.99. Despite the drop, FART coin wasn’t to be smacked down and it actually pushed harder, jumping up 19.28 percent, eventually climbing to $1.0479. Additionally, FART did have balanced liquidations across long and short positions.
Public dispute between Trump and Musk triggers unrest
The reaction was sparked after a heated social media fight between Trump and Musk, in particular. Trump went on to attack Musk over his opposition to an electric car mandate and cutting government contracts and subsidies to Musk’s businesses. In response, Musk said that Trump should be impeached because of his alleged connections to Jeffrey Epstein.
Trump said that this EV rollback will save $1.6 trillion and avoid a 68 percent tax hike. Musk opposed the budget bill because he forecasted a $2.4 trillion deficit. The fight sent Tesla shares down almost 15 percent. SpaceX remains private, but competitors in the space sector soared.