3 Altcoins at Risk of Major Liquidation in the Third Week of October

Group 1: Market Overview - The crypto market experienced a record liquidation event exceeding $19 billion, primarily affecting long positions [1] - Derivatives traders have become more cautious following the liquidation event, although some altcoins like BNB and ZEC are still attracting investor interest [1] Group 2: Ethereum (ETH) - Total open interest in ETH decreased from $63 billion to $48 billion, indicating a reduction in short-term leveraged positions [2] - Short-term bearish sentiment prevails among ETH traders, with short liquidations slightly exceeding long liquidations [2] - Analysts suggest a potential V-shaped recovery for ETH, supported by large investors accumulating ETH near $3,500 and improved market sentiment [3] - If ETH rallies towards $4,600, potential short liquidations could reach $5.6 billion; conversely, a drop below $3,700 could wipe out $3.5 billion in long positions [4] Group 3: Binance Coin (BNB) - BNB has outperformed other altcoins, reaching a new all-time high despite the market downturn [5] - The liquidation map for BNB shows a significant imbalance, with long liquidations exceeding shorts, indicating FOMO-driven leverage among traders [5] - Long traders betting on BNB's price increase are at risk of substantial losses if the market reverses [6] - Investors holding BNB for 6–12 months have reduced their holdings from 63.89% to 18.15%, signaling profit-taking and declining short-term confidence [7] - A correction to $1,150 could result in over $300 million in liquidations for long traders, while a rise above $1,500 could liquidate around $150 million in short positions [7] Group 4: Zcash (ZEC) - ZEC demonstrated resilience during a recent sell-off, avoiding major losses and setting a new all-time high, indicating a revival of interest in privacy-focused blockchain solutions [8]