Asia Morning Briefing: Ethereum Leads Recovery After $20B Liquidation Shock

Ethereum is leading a market recovery following a significant $20 billion liquidation event, with Ether rebounding to around $4,150 after dropping nearly 17% on Friday. Bitcoin steadied around $115,000, recovering from a nearly 9% drop. The market showed resilience, with high-beta assets like Solana and Bittensor also gaining. A theory suggests that the massive liquidation was linked to a structural failure at Binance, which experienced a pricing flaw that led to forced liquidations. Despite the turmoil, Binance has pledged over $280 million in compensation to affected users. Meanwhile, gold reached a record high amid ongoing U.S.-China trade tensions. The situation highlights issues with leverage across long-tail tokens and the role of staking in cushioning the market decline, although criticisms of Binance's operational stability have been prominent.

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