- Crypto liquidations hit $983M in 24 hours, with $891.9M coming from wiped-out long positions.
- Bitcoin and Ethereum led the drop, triggering mass stop-outs across major exchanges.
- Outflows from BTC ETFs and S&P 500 drop show investors are de-risking across all markets.
The feud between Elon Musk and Trump has disturbed the entire global financial markets. The impact in the crypto market has resulted in millions of liquidations. Over $983 million in liquidations hit the market, with $891.9 million coming from long positions.
Bitcoin led the decline falling 2.10% to $102,763 within 24 hours. Ethereum dropped 6.1% to $2,451 during the same window. The liquidation event wiped out highly leveraged positions, especially on major trading pairs like BTC/USDT and ETH/USDT.
Source: Coinglass
In just one hour, another $285 million was liquidated across the market. The rapid decline suggests fragile support and heightened short-term volatility. The event coincided with broader weakness in global markets.
The hit in the crypto market has spread wide across and even the stock stumbled on Thursday. The S&P 500 fell 1.2% to $5,900, while the Nasdaq Composite lost 1.5% to trade at $21,450. This reinforces the link between traditional and digital assets. Investors appear to be de-risking across the board as economic uncertainty looms.
In spite of the massive liquidation, trading volume spiked on major exchanges such as Binance and Bybit. Binance had a total volume of $22 billion and Bybit recorded just $3.8 billion. An increase in activity reveals that traders, retail as well as institutional, are panicking and selling their positions.
Data from CoinGlass shows over $120 million flowed out of Bitcoin ETFs, including Grayscale’s GBTC. This signals reduced institutional appetite for digital assets. The market downturn also impacted crypto-linked ETFs, which tracked the broader market pullback.
Data also show Bitcoin flow into exchanges over 24 hours increased. Some analysts explain this as opportunistic buyers trying to take advantage of the market. Yet, traders are still cautious about purchasing as the economy faces great uncertainty and negative market sentiments.
Related: U.S. Debt Woes Could Boost Bitcoin’s Rise as Global Reserve
At the press time, Bitcoin sits at $102,820, while Ethereum is trading for $2,459.25. These levels are key to watch for traders eyeing short-term rebounds. During these zones, scalping strategies may emerge as traders seek to make quick gains.
The strong relationship seen between Bitcoin and the S&P 500, with a value of 0.83, indicates the interdependence. If the Fed speaks or presents new economic information, it could cause the markets to become more volatile. Many traders are watching market flows, funding rates, and the depth of the order book for any signs of bounce back.
The sharp liquidations serve as a reminder of crypto’s volatility and its deep ties to global investor sentiment.
