In the past day, speculators trading crypto derivatives faced significant losses amounting to approximately $774 million, marking the highest single-day loss of the year due to volatile market swings.

Bitcoin, the leading digital asset, surged to its highest level since November 2021, surpassing the $63,000 mark in an impressive rally. However, the excitement was short-lived as the price swiftly dropped below $60,000, partly due to fear triggered by technical glitches on major exchanges such as Coinbase and Binance.

Further adding to the volatility, observers noted substantial Bitcoin transfers from wallets associated with funds seized by US authorities in the Bitfinex hack. The movement of nearly $1 billion to undisclosed addresses fueled speculation that authorities might take advantage of the market surge to sell off their holdings. However, analysis by CryptoSlate suggests that the movement was likely related to UTXO management.

Despite the turbulence, Bitcoin regained ground, rallying to $62,530 at the time of reporting, marking a 7% gain over the previous day.

Meanwhile, other major cryptocurrencies followed suit with impressive gains. Ethereum, for example, surged 5% to nearly $3,500, reaching its highest value since April 2022. Solana also saw a resurgence, reaching around $130, its highest level in 22 months, according to CryptoSlate data.

Among the top 10 cryptocurrencies by market capitalization, Cardano and Dogecoin stood out with significant double-digit gains of 11.78% and 39.16%, respectively.

The strong performance of the green market in the past 24 hours resulted in the liquidation of 189,679 traders, totaling a staggering $774 million, according to Coinglass data.

Short traders dominated the liquidation landscape, accounting for a significant portion of the total losses. Those betting against price increases faced a collective loss of $409 million, while long traders, anticipating price increases, incurred losses totaling approximately $365.48 million.

Bitcoin traders experienced the most substantial losses during this period, with a significant downturn of $292.09 million. Short traders saw losses of $187.83 million, while long traders witnessed a decrease of $104.26 million.

Similarly, Ethereum suffered losses totaling $126.64 million, while traders in DOGE and Solana faced losses of $50.3 million and approximately $29 million, respectively.

The largest individual liquidation occurred on OKX, totaling $9.45 million from a BTC-USDT-SWAP.

Among exchanges, Binance and OKX reported the highest liquidations, accounting for 35.57% and 35.31% of the total, respectively. These losses amounted to $275.46 million and $275.43 million, as reported by Coinglass. Conversely, Huobi, Bybit, and Bitmex witnessed liquidations totaling $79.40 million, $72.21 million, and $51.75 million, respectively.