Crypto Traders Stung by Liquidations on Leveraged ExchangesBy
Liquidations on BitMex exchange spike as Bitcoin price plunges
The higher the leverage used, the closer the liquidation point
Cryptocurrency investors are learning a hard lesson about the downside of leverage during the global rout across asset classes.
With prices down more than 15% since March 6, thousands of traders have been facing liquidations on BitMex, the world’s largest Bitcoin derivatives exchange. On Sunday, the Seychelles-registered trading platform had the most Bitcoin-related liquidations in three months, according to crypto derivatives tracker Skew.