Glassnode: Over 40%large-cap altcoins have leverage near annual highs
BIBIBI
AT A GLANCE
glassnode said leverage for over 40%large-cap altcoins remains near its annual high, and continued declines could pressure longs.
Article
⚡️glassnode: Leverage levels for major altcoins remain at high levels for the year; further declines could pose liquidation risks
BlockBeats News,October 20, glassnode released data indicating that since altcoin leverage reached its annual peak earlier this month, prices of most tokens have fallen significantly, but more than 40%of large-cap tokens remain near their highest leverage levels of the year. Among mid-cap tokens, this proportion has reached an annual high.
Leveraged altcoin trading remains active, and larger declines would put long positions at risk.
Original link https://m.theblockbeats.info/flash/372680
Key points
01
BlockBeats reported on October 20 data released by glassnode.
02
glassnode noted that prices of most tokens have fallen significantly since altcoin leverage reached its annual peak earlier this month.
03
More than 40%of large-cap tokens remain near their highest leverage levels of the year.
04
Among mid-cap tokens, the proportion near the year's highest leverage levels has reached an annual high.
05
The original article states that larger declines would put long positions at risk.
AI-assisted interpretation
The following is analysis, separate from reported facts. Verify important claims independently.
Leveraged trading uses less capital to amplify position size. The article states that although many altcoin prices have declined, leverage levels for large-cap and mid-cap tokens remain high. If prices continue to fall, some long positions may face risk.
Why it matters to readers
High leverage means the market may be more sensitive to further declines; those holding or trading altcoins should monitor the risks facing long positions during price declines.
Beginners should understand that leverage amplifies both gains and losses. This article is a market risk warning and does not provide advice on specific tokens or individual trading actions.
Risks and unknowns
The evidence does not include glassnode's original data charts, so the relevant proportions cannot be independently verified.
It does not specify which large-cap or mid-cap tokens are involved.
It does not explain the specific metrics or calculation methodology used for leverage levels.
It does not provide an actual liquidation amount or confirm that liquidations will necessarily occur.
Related Developments
Loading event timeline…
Related concepts
Altcoins
Refers to cryptocurrencies other than Bitcoin, which may be built on dedicated blockchains or use existing networks.
