EdgeX's Nasdaq-Linked Perpetual Contract Sees $13M Long Liquidations in Weekend Market Sell-Off

The cryptocurrency derivatives market experienced significant volatility over the weekend, with a sharp sell-off impacting EdgeX's Nasdaq-linked perpetual contract (perp). The downturn triggered a cascade of liquidations, resulting in approximately $13 million worth of long positions being forcibly closed. This event highlights the heightened risk and leverage present in the crypto derivatives sector, particularly for instruments tied to traditional market indices. Market analysts point to broader macroeconomic concerns and a pullback in equity markets as potential catalysts for the move, which led to a rapid deleveraging event on the EdgeX platform. Traders are advised to monitor leverage ratios closely during periods of high market correlation.