DogeCoin (DOGEUSD)

[MI T YT]

Round II





Dogecoin Surge Sees Short Traders Lose $8M After Tesla Store Addition
Shaurya Malwa
January 14, 2022, 2:20 am
Dogecoin (DOGE) traders lost more than $11.69 million in total to liquidations in Asian morning hours as the meme coin surged 14% in the past 24 hours. The figures were much higher than liquidations on bitcoin or ether futures, which usually see the most losses among all cryptocurrencies.

Liquidations occur when an exchange forcefully closes a trader's leveraged position as a safety mechanism due to a partial or total loss of initial margin. That happens primarily in futures trading, which only tracks asset prices, as opposed to spot trading where traders own the actual assets.

Nearly 65% of the liquidations stemmed from short trades, or from those betting on the downside, accounting for over $7.66 million in losses. Leveraged traders betting on an upside lost another $4 million on margin calls.