The past 24 hours have seen a massive wave of liquidations across the cryptocurrency derivatives market, wiping out hundreds of millions of dollars in leveraged positions.
Data reveals that a staggering $874.59 million in crypto futures contracts were “rekt”—a term used to describe forced closure of leveraged positions—affecting over 227,811 traders in total.
The overwhelming majority of these liquidations stemmed from “long” positions, meaning traders who had bet on rising asset prices were caught off guard by recent market downturns. Of the total liquidations in the past day, $778.41 million belonged to long positions, dwarfing the $96.18 million in short liquidations (bets on falling prices).
A breakdown of the liquidations across shorter timeframes further illustrates the intense pressure felt by bullish traders:
- 1 hour: $171.02 million total ($161.65 million Long vs. $9.37 million Short)
- 4 hours: $187.86 million total ($169.11 million Long vs. $18.76 million Short)
- 12 hours: $262.34 million total ($228.99 million Long vs. $33.35 million Short)
The sheer scale of these forced closures underscores a period of significant price volatility, which, as previously reported, has seen Bitcoin dip below the $101,000 mark. When prices move sharply against a trader’s leveraged position, exchanges automatically close out their trades to prevent further losses, leading to these “rekt” events.
The largest single liquidation order recorded during this period occurred on the HTX exchange, an ETH–USDT position valued at a substantial $9.15 million. Such large-scale liquidations often cascade, putting further downward pressure on prices as assets are automatically sold off.
This surge in liquidations serves as a stark reminder of the inherent risks associated with highly leveraged trading in the volatile cryptocurrency markets. While it clears out excessive leverage, it also highlights the severe financial impact on individual traders caught on the wrong side of sharp price movements.
Kosta Gushterov
Reporter at Coindoo
Kosta has been a part of the team since 2021 and has solidified his position with a thirst for knowledge, incredible dedication to his work and a “detective-like” mindset. He not only covers a wide range of trending topics, he also creates reviews, PR articles and educational content. His work has also been referenced by other news outlets.
Source: https://coindoo.com/nearly-900-million-in-crypto-liquidations-as-leveraged-traders-face-a-rekt-market/