Over 100,000 people worldwide suffered margin calls, with $349 million evaporating overnight. What's the underlying logic behind this crypto market volatility?

Did you sleep well last night? But over 100,000 people worldwide experienced a sleepless night—they suffered a brutal market crash. In just 24 hours, $349 million was wiped out, with Bitcoin shorts losing $50 million and Ethereum shorts losing $110 million. This massive capital loss serves as a warning against irrational trading.

105,922 accounts were forcibly liquidated, an average of 70 accounts per minute, a rate that even strained exchange systems. One investor, using 100x leverage to short, saw their positions wiped out at lightning speed in just five minutes, demonstrating the double-edged sword of leverage.

Why did this happen? The core issue lies in market misjudgment and underestimation of risk. Seeing Bitcoin rise to $120,000, many people subjectively assumed the price would fall and engaged in a frenzy of short selling. But market trends have proven that respecting trends is far more important than stubbornly clinging to one's own opinions, and that misjudgments will ultimately come at a price.

Objectively speaking, margin calls are a common occurrence in high-risk markets. Profits for long positions often reflect losses for short positions, a harsh reality of a zero-sum game. However, this also provides a degree of market liquidity.

Following this large-scale margin call, regulatory attention may intensify. Striking a balance between risk prevention and maintaining market vitality will be a key regulatory issue.

This is the nature of the crypto market: volatility harbors both opportunities and traps. For investors, survival is always the top priority—as long as the account remains open, there's a chance of a comeback. Even if you experience a margin call, consider it a profound risk education, ensuring greater caution next time.

Some say the crypto market is fair because it treats the wealthy and ordinary alike equally. Ultimately, it tests one's understanding and risk management skills. Improving market understanding, controlling leverage, and respecting trends are the keys to long-term survival. The most direct lesson from this incident is: never fight the trend. The risks of going against the market are far greater than one might imagine. $BTC $XRP $ETH #比特币市值超越亚马逊 #加密总市值创历史新高 #BTC重返12万