The crypto market has suffered heavy losses in the past seven days, wiping out gains from the last surge in December. With billions liquidated in days, sentiments have dropped to lows at the start of the year. Bitcoin’s slump below $95K led to a similar decline in Ethereum (ETH) and other altcoins as bear traders dominated the market. Unlucky Trader’s Loss Hits $18 Million A crypto trader got liquidated three times in the last 35 days as high volatility continues in the market. Crypto firm Lookonchain wrote on X (formerly Twitter) that the trader’s losses had passed $18 million from three separate liquidations. On Jan 9, he got liquidated 1,495 ETH, approximately $4.97 million. This loss sparked concerns within the wider community as a cross-section of users remain in the same boat. Ethereum’s losses have surged due to negative trading marked with significantly low inflows. The trend continued after the leading altcoin fell below $3,500. At press time, ETH’s price stands at $3,255, falling further by 2% in the last 24 hours and 6% this week. As a result, most users have recorded losses from their holdings, some getting outright liquidated. Decentralized finance (DeFi) volumes traded in similar lines as low market activity and sentiment plunged several tokens. Last month, the trader was liquidated twice. The first was on December 6, when 95.46 WBTC was lost, worth about $9.25 million. On December 10, another 44.86 WBTC, worth $4.37 million, was liquidated. “ A trader was liquidated for 1,495 $ETH ($4.97M) again 9 hours ago—the third time in the past 35 days. On Dec 10, 2024, 44.86 $WBTC ($4.37M) was liquidated. On Dec 6, 2024, 95.46 $WBTC ($9.25M) was liquidated. This trader currently holds 541.68 $WBTC($51.1M) on #Aave and will be liquidated again if the price of $BTC drops to ~$90,810,” Lookonchain wrote. Crypto Losses Wipe Out Huge Gains At the start of the year, asset prices surged on an influx of institutional investors . These traders accumulated assets ahead of Donald Trump’s second term with a projected upswing in Bitcoin and altcoin prices. Most firms placed BTC price projections during a bull peak at $150K to $200K, while altcoins were tipped for massive gains as funds trickled in. However, the recorded gains have been liquidated with huge offloads from institutional and retail players. The crypto market cap fell below $3.35 trillion, a 6% drop today. Bitcoin is down 2% today, while altcoins posted larger exits.
