Recently, this wave of market activity has caused quite a stir in the derivatives market. According to on-chain data, the total liquidation volume across the entire network in the past 24 hours reached $59.1873 million, with short positions being liquidated significantly more — $38.0595 million. In comparison, long positions were liquidated only $21.1278 million.

What does this mean? The bears have taken a big hit during this decline. Specifically, for mainstream cryptocurrencies, the liquidation amount for BTC was $5.9886 million, followed closely by ETH with $4.7259 million.

From the market sentiment reflected by this data, it appears that short sellers haven't had a good time recently. Whether it's Bitcoin or altcoins, leveraged longs seem to have found their rhythm during this period. This distribution of liquidations may indicate that the market is searching for a new equilibrium, and derivatives traders are using real actions to validate the current trend.