{"id":29218,"date":"2022-09-16T16:03:40","date_gmt":"2022-09-16T16:03:40","guid":{"rendered":"http:\/\/egrowonline.com\/?p=29218"},"modified":"2022-09-16T16:03:40","modified_gmt":"2022-09-16T16:03:40","slug":"ethereum-liquidations-top-127m-amid-post-merge-volatility","status":"publish","type":"post","link":"http:\/\/egrowonline.com\/?p=29218","title":{"rendered":"Ethereum Liquidations Top $127M Amid Post-Merge Volatility"},"content":{"rendered":"


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The successful merge<\/a> carried out by the Ethereum<\/a><\/span> network this week hasn\u2019t staved off the effects of crypto\u2019s ongoing bear market, with Ethereum\u2019s price<\/a><\/span> down around 8% in the past 24 hours.<\/p>\n

Ethereum, the second largest cryptocurrency by market cap, is currently trading hands around $1,460, down 8.2% over the past 24 hours, according to CoinMarketCap<\/a>.<\/p>\n

Over the past seven days, Ethereum shed more than 14% of its value, tumbling from $1,740.88 on Wednesday to as low as $1,448.95 in the early trading hours of Friday. Daily trading volumes were also down 19.11% to $20 billion in the last 24 hours.<\/p>\n

This bearish price shift also led to over $127.4 million in Ethereum liquidations, according to data from Coinglass<\/a>.<\/p>\n

More than 80% of these liquidations, over $103 million, were long positions from bullish crypto traders.<\/p>\n

\"ETH\"ETH<\/span>
ETH liquidations data; green bars represent blown-out long trades. Source: Coinglass<\/figcaption><\/figure>\n

Why is Ethereum down following the merge?<\/h2>\n

The impetus for Ethereum\u2019s recent bearish price action is multi-pronged.<\/p>\n

However, perhaps the most significant factor was SEC Chair Gary Gensler\u2019s recent statement<\/a> that proof-of-stake cryptocurrencies could be considered securities.<\/p>\n

The merge saw Ethereum shift from the proof-of-work<\/a> (PoW) consensus mechanism employed by cryptocurrencies such as Bitcoin<\/a><\/span>, to a proof-of-stake<\/a><\/span> model.<\/p>\n

Under the new consensus, Ethereum offers returns to depositors in a process commonly known as \u201cstaking.\u201d Gensler argued the native assets of proof-of-stake blockchains could pass the Howey test, a critical test used to determine whether an asset qualifies as an investment contract, and therefore falls under federal security laws.<\/p>\n

Gensler\u2019s comments come amid broader bearish action from the crypto market, sparked by the release of recent CPI figures<\/a> that point to higher-than-expected inflation. Over the past week, Bitcoin, the biggest cryptocurrency by market capitalization, is down around 4.6%, and is currently trading below the psychologically significant level of $20,000.<\/p>\n

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Stay on top of crypto news, get daily updates in your inbox.<\/h3>\n<\/p>\n<\/div>\n<\/div>\n


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The successful merge carried out by the Ethereum network this week hasn\u2019t staved off the effects of crypto\u2019s ongoing bear market, with Ethereum\u2019s price down around 8% in the past 24 hours. Ethereum, the second largest cryptocurrency by market cap, is currently trading hands around $1,460, down 8.2% over the past 24 hours, according to […]<\/p>\n","protected":false},"author":1,"featured_media":29219,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","enabled":false}}},"categories":[41],"tags":[11199,158,3355,2108,114,1740],"class_list":["post-29218","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-ethereum","tag-127m","tag-ethereum","tag-liquidations","tag-postmerge","tag-top","tag-volatility"],"jetpack_publicize_connections":[],"jetpack_sharing_enabled":true,"jetpack_featured_media_url":"http:\/\/egrowonline.com\/wp-content\/uploads\/2022\/09\/ethereum-down-gID_2.jpg","_links":{"self":[{"href":"http:\/\/egrowonline.com\/index.php?rest_route=\/wp\/v2\/posts\/29218","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/egrowonline.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/egrowonline.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/egrowonline.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/egrowonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=29218"}],"version-history":[{"count":1,"href":"http:\/\/egrowonline.com\/index.php?rest_route=\/wp\/v2\/posts\/29218\/revisions"}],"predecessor-version":[{"id":29220,"href":"http:\/\/egrowonline.com\/index.php?rest_route=\/wp\/v2\/posts\/29218\/revisions\/29220"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/egrowonline.com\/index.php?rest_route=\/wp\/v2\/media\/29219"}],"wp:attachment":[{"href":"http:\/\/egrowonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=29218"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/egrowonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=29218"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/egrowonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=29218"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}