The crypto market has faced a significant hit with an overwhelming $272 million in daily liquidations amidst a major stock market plunge. The US stock market shockingly lost over $879 billion in a short span.
In recent developments, bitcoin’s price drop delivered a hard blow to the crypto market, setting off a widespread departure from risk-prone assets in the last day. Coinglass reported an astonishing total of 81,838 traders liquidated, with centralized exchanges dealing with around $272 million in total liquidations. Bitcoin led this onslaught with near about $78 million liquidated just in the last day, with huge $44 million of them being long positions.
The sharp fall in the crypto market aligns with the drastic tumble of stocks on Friday. Fears of an imminent recession triggered by a much lower-than-anticipated U.S. July jobs report caused these losses to accumulate at over $879 billion. The S&P 500 is bracing itself for its poorest session in almost two years. The tech-centric Nasdaq Composite faced a massive drop of 2.9%, pushing the index down by more than 10% from its recent peak. The Dow Jones Industrial Average dropped 863 points, or 2.1%, with its lowest point being a 989 points drop during the day’s early trading.