Crypto Traders Lose $200 Million as Ether Hits Two-Month High

• Crypto short traders have lost more than $200 million due to liquidations as Ether hits a two-month high
• The cryptocurrency market capitalization has risen by about 3.18% in the past 24 hours
• Ether-tracked futures also saw liquidations worth about $110 million in both long and short positions

The cryptocurrency market continues to make gains with Ethereum (ETH) reaching a two-month high. Crypto traders who had bet on a market decline have been caught off-guard by the broad recovery in the crypto market, leading to liquidations of over $200 million worth of short trades against price rises in the past 24 hours.

The total cryptocurrency market capitalization has seen an increase of about 3.18% in the past 24 hours, with Ethereum (ETH) trading at around $1400. Ethereum’s strong performance is projected to continue ahead of the upcoming March Shanghai upgrade, which is designed to de-risk staking by allowing users to stake with a lower minimum deposit.

Other major altcoins like XRP and Solana also saw gains of about 20%, while bitcoin (BTC) saw liquidations worth about $77 million. Ether-tracked futures also saw liquidations worth about $110 million in both long and short positions, while AVAX and GALA saw $4.5 million in liquidations.

The market’s bullish trend has been largely driven by institutional investors, who are slowly entering the crypto market with the introduction of crypto-focused ETFs, stablecoins, and other products. This increased institutional interest has also been accompanied by an increase in retail investors, as well as a rise in the number of crypto exchanges and wallets available.

The crypto market’s recovery has been a welcome surprise for many investors, especially those who had bet on a market decline. With the market continuing to trend upwards, investors should take caution and ensure that their strategy is well-informed and up to date with the latest market news.