$500M Liquidated In 24 Hours As Bitcoin (BTC) Plunges To $25K Level

The last 24 hours saw high-value liquidations across crypto markets as Bitcoin BTC/USD dropped as low as $25,117.

What Happened: According to data from CoinGlass, at the time of writing around $513 million was liquidated from over 180,000 traders.

The majority of liquidations were seen by traders in long positions — a total of  $339 million longs were liquidated while $169 shorts were liquidated.

Bitcoin saw a total of $210 million in liquidations as the asset fell to a low last seen in December 2020. Ethereum ETH/USD saw $156 million in liquidations as the asset dropped to $1,318.

Some of this sudden and immense sell pressure can be attributed to crypto lending platform Celsius CEL/USD which was observed sending $320 million worth of crypto from Aave to FTX as the platform’s liquidity crisis unfolded earlier today.

I can think of two possible explanations:

1) Borrowing from FTX against this collateral to move their leverage off-chain
2) Selling assets

What other possible explanations might there be?

— Dirty Bubble Media:  (@MikeBurgersburg) June 13, 2022

On-chain analysts caught wind of fund flows from Celsius to FTX, where the lending platform sent 6,000 Wrapped Bitcoin WBTC/USD and 20,000 ETH to the crypto exchange.

Celsius said it was pausing all withdrawals, swaps, and transfers between accounts.