Against the falling Bitcoin (BTC) exchange rate, the daily liquidation volume on the crypto market approached $700 million.

Traders liquidated $698 million worth of positions in the last 24 hours, according to Coinglass data.

The majority came from BTC, $11.1 million, with the vast majority coming from short positions. Ethereum (ETH) became the second most popular asset for liquidation, with traders liquidating $5.57 million worth of positions, most of which came from long.

Positions were mainly liquidated on crypto exchanges Binance, OKX, and Bybit. The most significant liquidation order was the BTC-USDT position on the Huobi cryptocurrency exchange for $14.26 million.

On Jan. 3, 2024, the rate of the first cryptocurrency showed a sudden drop, immediately falling to the level of $41,500. At the time of publication, BTC is trying to gain a foothold above $42,800. The collapse of the bitcoin rate also hurt the alt-coin sector. Over the past 24 hours, the value of most assets fell by an average of 13%.

The collapse came shortly after Matrixport analysts reported that the U.S. Securities and Exchange Commission (SEC) will not approve spot Bitcoin ETFs this month. Experts suggested that the agency will begin registering investment crypto-funds only after the applicant companies fulfill all the agency requirements. Matrixport representatives believe this could happen in Q2 of 2024.