The crypto market just went through one of its roughest days of the year. In the past twenty four hours, more than two billion dollars in leveraged bets were wiped out. Prices fell sharply across the board, and positions began closing one after another at a rapid pace.
Crypto liquidations nearly hit $2B
The selloff picked up speed on November twentieth. A wave of bad economic news and growing fear pushed Bitcoin below $82,000. Once BTC fell through major support levels and hit lows around $81,650, the liquidations exploded. Traders who were expecting a breakout got caught badly. Coinglass data shows that liquidations jumped 220 percent to just over 2.2 billion dollars.
Most of the pain came from long positions. More than one point eight seven billion dollars in longs were wiped out on exchanges like Binance, OKX and Bybit. Short positions only made up about one hundred 47 million dollars. Bitcoin took the biggest hit, with over one point zero two billion dollars in forced closures. Ethereum lost about four hundred 25 million. Solana had around one hundred two million liquidated, and XRP saw about thirty two million erased.
In total, more than 405,000 traders were liquidated in a single day. The largest single liquidation was 36 point seven million dollars on Hyperliquid in the BTC USD pair. While 2 billion dollars may sound huge, it is still small compared to the full market value of roughly $2.85 trillion. It is also much lower than the nineteen billion dollar liquidation wave that happened on October tenth. Even so, this latest spike shows how quickly things can get worse if prices fall again.
The market mood has also taken a big hit. The Bitcoin Fear and Greed Index has dropped to fourteen, which is deep in the “extreme fear” zone. The last time it was this low was during the 2022 crash. Many analysts think the pressure is coming from deeper problems. Tom Lee, chairman of BitMine and co-founder of Fundstrat, said market makers are still struggling with massive losses left over from the record liquidations in October. He believes those wounds have not healed, which is hurting liquidity across the market. Falling expectations for December interest rate cuts are adding more stress.
Despite everything, Lee still expects a rebound by the end of the year. BitMine showed its confidence by making another Ethereum purchase on November twentieth. For now, though, the market remains tense, shaky and on high alert.
Disclaimer – The information provided in this article is solely for educational and informative purposes. The contents of this article should not be considered as financial or investment advice. Cryptocurrency markets are highly volatile, with prices that can fluctuate rapidly. Always do your independent research and consult with a qualified financial advisor before making any investment decisions. Neither the author nor the publisher accepts any liability for potential losses and/or damages arising from using this information.
