Techub News reports that Galaxy Research has released a report indicating that the cryptocurrency market's mortgage scale increased by 27% quarter-on-quarter in the second quarter, reaching $53.1 billion, a new high since early 2022, primarily driven by increased DeFi lending demand and a rebound in risk appetite. Recently, Bitcoin fell from $124,000 to $118,000, triggering over $1 billion in long liquidations, the largest scale since August. Analysts believe this is more of a profit-taking event, but it also highlights the market vulnerability brought by rapid leverage accumulation. Meanwhile, the borrowing cost for USDC in the over-the-counter market has been rising continuously since July, while on-chain rates remain stable, with the spread between the two expanding to the highest level since the end of 2024, indicating that off-chain dollar demand exceeds on-chain liquidity. Galaxy warns that under the backdrop of surging loan scale, concentrated lending, and tightening liquidity, systemic pressure is increasing, and the recent $1 billion liquidation event reminds the market that leverage risk has a two-way effect.

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