The cryptocurrency market saw a modest recovery on Tuesday, with almost every token in the top 100 by market cap posting gains compared to the previous day. This upward trend, however, has led to significant liquidations of over $87 million in the past 24 hours, $56 million of which were from short positions, according to CoinGlass.

Bitcoin (BTC) gained 2.45% in the past 24 hours, trading at $61,983, while Ethereum (ETH) has increased by 1.88% to $3,403. Notably, memecoins such as Pepe (PEPE) and Dogwifhat (WIF) performed exceptionally well, with gains of 15.9% and 16.8%, respectively.

While these gains are positive for the overall market, they have spelled trouble for those taking short positions. Even those with long positions faced some setbacks, with approximately $30.9 million in long positions being liquidated. The cryptocurrency market had been on a downward trajectory for the past two weeks, with Bitcoin dipping as low as $59,780 yesterday. Several factors have contributed to this downward pressure, such as the sell-off of seized Bitcoin by Germany and the anticipated movements of Bitcoin held by the failed crypto exchange Mt. Gox.

Bitcoin and Ethereum have been particularly impacted by recent liquidations, which reached over $360 million on June 24 when Bitcoin fell below $60,000 for the first time since early May. In the midst of these market movements, analysts are closely watching for "accumulation whales," large investors who may be taking advantage of the lower prices to accumulate more assets.