The cryptocurrency market has experienced a massive liquidation event, totaling over $2.26 billion in the past 24 hours. This sharp sell-off comes in the wake of new U.S. tariff regulations that have shaken market sentiment, particularly at the opening of Asian stock markets. As the U.S. markets are set to open, the market is watching closely to see if the volatility continues or if the situation stabilizes.
Leading the charge in terms of liquidations, Binance saw the highest amount of funds wiped out, with $830.8 million in liquidated positions. Of this total, $728.5 million came from long positions, while $102.3 million were short liquidations. This indicates that the majority of traders were caught off guard by the sudden price movements, leading to significant losses for those betting on further price increases.
OKX follows as the second largest in liquidations, with $492.8 million in total, of which $414.4 million were long positions and $78.4 million were short. Bybit also saw significant liquidation activity, totaling $338.1 million, with $290.8 million from long positions and $47.3 million from shorts. These top three exchanges accounted for a substantial portion of the total liquidations in the market, reflecting the broad impact of this market event across major platforms.
Other exchanges, such as Gate, HTX, Coinex, Bitfinex, and Bitmex, also saw significant liquidation activity, though to a lesser extent. Gate had $307.3 million in liquidations, with $190.3 million from long positions and $117 million from short positions. HTX saw $168.7 million, with the majority coming from long liquidations. The total liquidations for all exchanges amounted to $2.26 billion, with long positions making up the majority of the liquidated funds, totaling $1.88 billion.
Impact on Cryptocurrencies and Market Outlook
The liquidation event heavily impacted major cryptocurrencies, with Ethereum ($ETH) leading the way. Ethereum was the most liquidated coin, with a total of $616 million in liquidations. This was followed by Bitcoin ($BTC), which saw $418 million in liquidations. Both of these assets are highly influential in the broader cryptocurrency market, and their liquidation figures highlight the widespread impact of the market correction.
Ripple ($XRP) also saw significant losses, with $123 million in liquidations, while Dogecoin ($DOGE) and Solana ($SOL) followed with $91.5 million and $86.1 million, respectively. Cardano ($ADA) was also affected, with $36.1 million in liquidations, while Sui ($SUI) saw $33.2 million. Even the lesser-known Official Trump token ($TRUMP) experienced a wave of liquidations, amounting to $18.9 million.
As the market stabilizes, traders will likely remain cautious, closely watching the movements of Ethereum, Bitcoin, and other major cryptocurrencies. The large amount of liquidated long positions suggests that many traders were overly optimistic about the market’s trajectory, and this correction may prompt a reevaluation of risk management strategies in the space.
Looking ahead, the crypto market may face further volatility as U.S. markets open and additional regulatory news emerges. Traders will need to stay alert for potential market shifts and adjust their positions accordingly. The ongoing volatility presents both risks and opportunities, depending on market direction and the ability of traders to navigate these tumultuous conditions.
