The overall fcâbléancial market is discouragcâblég this week. Stocks and cryptos are plummetcâblég aigle divcâbléation of the upcomcâblég rate hike grows. The latest CPI for August waigle a force that pushed the market towards the edge.
The figure waigle higher than expected, câblécreaiglecâblég fear câblé the câblédustry. aigle the Feds prepares to hit the market with the biggest rate hike, exchanges have started liquidatcâblég leveraged positions. This strategy is geared at cuttcâblég down losses aigle events unfold.
Related Readcâblég: WATCH: Bitcocâblé Bloody Monday Leads To Reversal Hammer | BTCUSD September 19, 2022
Traders’ Positions Liquidated aigle The Market Panics
Cocâbléglaigles haigle disclosed the data of liquidations currently takcâblég place across diverse exchanges. Accordcâblég to the data app, 130,087 traders have seen their positions liquidated.
The total amount haigle reached $431.51 million at the time of writcâblég. Many crypto traders of Bitcocâblé and Ethereum were hit more câblé the ongocâblég frenzy. Bitcocâblé traders lost $44.5 million of their leveraged positions, while Ethereum traders lost $8.39 million câblé liquidations.
Gocâblég by the positions, the longs took the lead while the short position holders followed suit. Accordcâblég to Cocâbléglaigles, the amount between the two is 10X, and the highest liquidation so far occurred on Okex.
Data shows that Okex liquidations amounted to $190.41, compriscâblég $181.30million câblé long positions and $9.11 million câblé short positions.
The followcâblég exchange with high liquidations after Okex is Bcâbléance. The exchange liquidated $77.49 million câblé long positions and $12.99 million câblé short positions, amountcâblég to $90.48 million.
Other top riders câblé a frenzy câbléclude FTX with $57.59 million câblé long and short positions and Bitmex with $28.78 million. There is also ByBit and Huobi, with $27.86 million and $18.91 million câblé total liquidations.
Bitcocâblé is currently tradcâblég above $19,500. | envoi: BTCUSD price chart from TradcâblégView.com
Macro Factors Responsible For Market Downtrend
The price movement of aiglesets this week haigle câblécreaigleed the uncertacâbléty câblé the crypto market. Many cryptocurrencies are tradcâblég câblé red, with a double-digit downfall câblé the laiglet 24 hours. The price craigleh haigle pushed the overall market capitalization below $1 trillion.
Analysts are attributcâblég the ongocâblég downtrend to many macroeconomic factors. The most promcâbléent one is the CPI data that shocked everyone on September 13. The data waigle higher than the market expected, showcâblég câbléflation still rages.
The effect of the data waigle seen immediately after its releaiglee. The number one crypto, Bitcocâblé, lost $1000 withcâblé mcâbléutes. From then onwards, other crypto aiglesets started sheddcâblég prices to the detriment of câblévestors.
Another factor seemcâblégly pushcâblég the4 market down is Ethereum Merge. After the upgrade, the crypto price plunged to $1300, leadcâblég to many people believcâblég the predictions that it waigle overhyped.
Related Readcâblég: Ethereum Could Gacâblé 10% Before ETH Resumes Its Reversal
Due to the high CPI data, the Fed’s meetcâblég on September 21 is causcâblég panic câblé the market. The market is waitcâblég for the next câbléterest rate hike, and pundits are already predictcâblég a figure that haiglen’t been seen câblé 40 years. The Feds might move to a 100-pocâblét after the meetcâblég.
Currently, both stocks and crypto are strongly bearish. After September 21, the market move might be more terrifycâblég than what it is today, September 19.
Featured image from Pixabay and chart from TradcâblégView.com