- Bitcoin and Ethereum leveraged whales were the most impacted during today’s forced liquidation.
- The total crypto market cap dropped by over 10% as most altcoins recorded a slip of over 40% today.
- History favors a major crypto rebound in the coming weeks, as gold hovers at overbought levels.
The crypto market recorded its biggest intraday liquidation during the past 24 hours. According to market data analysis from CoinGlass, the total crypto liquidations during the last 24 hours surged by over 3,084% to around $19.3 billion at press time.
More than 1.6 million traders were rekt today, with long traders losing nearly $17 billion compared to $2.5 billion by short traders. The largest recorded single liquidation order today happened on Hyperliquid involving an ETH/USDT pair valued at around $204 million.
Biggest Crypto Liquidations in History
According to CoinGlass, the total crypto liquidations today could be much higher than what was reported. Furthermore, CoinGlass noted that Binance only reports one liquidation order per second, despite being the largest centralized exchange (CEX) by daily traded volume.
Following the heavy crypto liquidations today, the number of open traders with open positions on Hyperliquid dropped from 50k to 20k.
Related: Bitcoin Dominance Exhaustion Hints at Altcoin Rally as SOL, ADA, AVAX Gain Momentum
List of Historical Major Crypto Liquidations
During the past five years, the crypto market has recorded several major forced liquidations including:
- COVID-19’s Black Thursday: on March 12, 2020. Around $5 billion.
- Crypto black Wednesday on May 19, 2021: Elon Musk’s pullback from BTC amid China’s renewed crackdown on miners. Around $9 billion liquidated.
- FTX Collapse in November 2022: Around $4 billion.
- Terra Luna collapse in May 2022: around $3 billion liquidated.
Why Is the Crypto Market Down Today?
The main reason why the crypto market experienced its biggest crash in history was due to a renewed feud between the United States and China. On Friday, President Donald Trump announced that the U.S. will impose a 100% tariff on China-made goods beginning November 1, 2025.
With the ongoing U.S. government shutdown, the fear of crypto capitulation surged, whereby Bitcoin’s Fear and Greed index dropped to 27, signaling fear.
The Silver Lining
Several Whale Investors Grasp the Opportunity
According to on-chain data analysis from Lookonchain, seven whales borrowed 40 million USDC on Aave to buy the crypto dip. World Liberty Finance (WLFI) spent 10 million USDC to purchase its token amid today’s crypto crash.
Meanwhile, the Bitcoin OG, who was identified after selling over $4 billion in BTC to buy Ether last month, made over $160 million in profit following today’s crash. Earlier this week, the Bitcoin OG opened a $438 million short position on Bitcoin, thus making massive profits.
What’s Next for the Crypto Bull Market?
While the crypto market was heavily impacted by the renewed China-U.S. trade war, the Gold price did not experience the crash. As such, crypto analyst Benjamin Cowen highlighted that capital rotation to the crypto market will accelerate in the coming months, as the gold price in the weekly timeframe hovers at overbought levels.
Related: U.S. Shutdown Stalls 90 Crypto ETF Approvals in October, Freezes $10 Billion in Inflows
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Source: https://coinedition.com/19-billion-crypto-liquidations-after-trump-tariff-threat/