A sharp downturn swept through the global cryptocurrency market in the last 24 hours, triggering $2.1 billion in liquidations. Decline in crypto prices wiped almost $70 billion from the sector’s total market capitalization.
In particular, nearly 486,069 traders were liquidated during this downturn, according to CoinGlass data. Ethereum (ETH) and Bitcoin (BTC) led the losses, accounting for $679.9 million and $644 million in liquidations, respectively. Long positions dominated the wipeout, representing nearly 79% of total liquidations ($1.67 billion).
Bearish rallies among major large-cap assets have raised concerns following recent lows. Over the last 24 hours, BTC recorded a low of $98,962, while ETH touched $3,063. At the time of writing, BTC was trading 2.45% lower at $101,746, and Ethereum had slid 4.79% to $3,317, putting ETH in the red year-to-date.
In the U.S. ETF market, notable daily outflows have been observed. Bitcoin ETFs recorded their sixth consecutive day of outflows, totaling $577.74 million. Meanwhile, Ethereum ETFs marked their fifth consecutive day, reaching $219.37 million, as per data on SoSovalue.
What caused the crash and what might happen next
Trump’s tariff threats against China unsettled both crypto and stock markets, leading to major pullbacks. The Federal Reserve’s rate cut, paired with Powell’s warning against expecting more cuts, added to investor caution and extended the sell-off.
Although the recent $2.1 billion liquidation is less dramatic than the $19 billion sell-off seen in early October, the drop of Bitcoin and other major cryptocurrencies to crucial support zones signals the potential for further corrections.
Drawing on Bitcoin’s historical price patterns, on-chain crypto analyst Ali noted:
“At present, the 50-week moving average sits near $102,000. If Bitcoin closes below and fails to reclaim this level, history suggests the potential for another ~60% correction, which would project a downside target around $40,000.”
Whether Bitcoin can hold above critical technical levels such as $100,000 and $90,000 may decide if this sell-off becomes a short-term shakeout or a prolonged bear phase.
