Bitcoin hit a 7-week low around $109,000 on Coinbase, leading to over $900 million liquidated from about 200,000 accounts in 24 hours, mostly long positions according to CoinGlass.
Selling pressure surged after a whale dumped 24,000 BTC, risk-off sentiment and thin weekend liquidity amplified volatility. Ether is holding its value better, while many altcoins are down significantly.
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Over $900 million in positions were liquidated, mostly long, when BTC broke below $109,000 on Coinbase (CoinGlass, TradingView).
Selling pressure is associated with a 24,000 BTC sell-off and a rotation of capital away from risk assets; Ether is of greater interest to institutions (BTC Markets, Cointelegraph).
BTC has corrected 12% from its peak of $124,000 on August 14, and historically, September has often been less positive in bull market years (CoinGlass).
What happened in the past 24 hours?
About 200,000 traders were liquidated for over $900 million as Bitcoin fell to a 7-week low, just below $109,000 on Coinbase, mostly long positions (according to CoinGlass).
Liquidation data by exchange and by position type from CoinGlass shows that high leverage has led to a widespread liquidation cascade as prices break through support levels. On TradingView, the BTCUSD pair at Coinbase recorded a rapid drop below $109,000, the lowest since 09-07, before a slight bounce.
This move has erased most of last week's gains following the expectations of policy easing communicated from Jackson Hole. The total cryptocurrency market capitalization has fallen back below $4 trillion.
Why has selling pressure increased sharply at this time?
A sell-off of 24,000 BTC triggered a wave of liquidations and increased selling pressure, according to experts from BTC Markets.
"Selling pressure increased as a large holder dumped 24,000 BTC, triggering a wave of liquidations."
- Rachael Lucas, Analyst, BTC Markets, source: Cointelegraph
The market is in a thin liquidity phase, especially on weekends, making it vulnerable to large-scale orders. When margin levels are breached, leveraged positions automatically close, exacerbating the decline. This aligns with the "cascading liquidations" pattern commonly seen in cryptocurrencies.
Lucas also noted the rotation of capital away from risk assets. Nevertheless, Ether continues to be the focus of institutional investor interest, indicating selective capital inflows rather than a broad net outflow (Cointelegraph).
How does the statement at Jackson Hole affect market sentiment?
After the signal for policy easing from the Fed Chair at Jackson Hole, BTC has still dropped 7% since then, reflecting a wait-and-see sentiment.
Expectations of interest rate cuts typically support risk assets, but the cryptocurrency market reacts in two phases: profit-taking after previous gains and re-pricing interest rate trajectories. In the context of high volatility, investors prioritize capital preservation, causing the drop to be amplified.
Macroeconomic uncertainty continues to be the primary variable. The market will watch inflation data, employment figures, and further statements from the Fed to confirm the easing trajectory.
How much is Bitcoin correcting from its latest peak?
BTC has adjusted about 12% from its peak of over $124,000 on August 14, retreating to the $109,000 range at the daily low, marking the lowest level since 09-07.
Double-digit corrections after hitting peaks are not uncommon in upward cycles. Rapid correction often comes from thick leveraged positions and concentrated liquidation zones. Monitoring CoinGlass's liquidation map helps identify price clusters at risk of liquidation.
Seasonal factors are also unfavorable: the monthly return data for Bitcoin compiled by CoinGlass shows that September is often less positive, having recorded significant corrections in 2017 and 2021.
How is Ether holding up better than Bitcoin?
ETH dropped to $4,340 but remains above last week's low, showing better resilience than BTC during the drop.
Reports indicate that institutions still prefer Ethereum, thanks to its diverse application ecosystem and more stable on-chain dynamics in the short term (Cointelegraph). This does not mean a complete separation, but it shows a relative preference for ETH as volatility increases.
In contrast, many large-cap altcoins like SOL, DOGE, ADA, LINK, and SUI recorded sharper declines, reflecting a cooling risk appetite and high sensitivity to BTC volatility.
How are opinions from market figures diverging?
The general message is that we need to accept liquidation sessions to clean up leverage before the uptrend can resume, according to the co-founder of CoinGecko.
"We have to go through harsh liquidation days to be able to rise."
- Bobby Ong, Co-founder of CoinGecko, Monday, source: X
On a cautious note, gold commentator Peter Schiff predicts a potential drop to $75,000 and recommends selling and then buying back lower, emphasizing risks of deeper corrections in the short term (source: X). Diverging opinions often arise during periods of high volatility and thin liquidity.
How is the overall market reacting after BTC's drop?
The total cryptocurrency market capitalization has dropped to around $3.84 trillion, losing nearly $200 billion compared to last week, erasing previous gains.
The decline is broad but uneven: BTC leads the drop, ETH holds up better, high beta altcoins decline more sharply. During risk-off periods, BTC's dominance index tends to rise as capital pulls away from riskier assets.
Investors should pay attention to the volatility divergence among asset classes in the cryptocurrency market to manage portfolio risk.
What risks and scenarios should investors be aware of in the near term?
Key risks include: triggering more liquidations if prices breach thick leverage zones, low liquidity outside of U.S. hours and weekends, risk-off sentiment if macro data is poor.
The base case is wide-ranging volatility as the market seeks a new balance of leverage. The negative scenario is a deep breach of concentrated liquidation zones leading to a widespread sell-off. The positive scenario is good absorption of supply around support, along with macro signals easing.
Reference tools: CoinGlass (Liquidation Data, Monthly Returns), TradingView (price by exchange), official Fed channels and mainstream financial media when monitoring macro trends.
What short-term strategies should be considered in a volatile environment?
Prioritize risk management: reduce leverage, set stop-loss orders according to actual volatility, avoid trading in thin liquidity conditions.
Cautiously allocate to deeper liquidity assets as volatility increases. For long-term investors, space out buying points, maintain discipline, and monitor trend confirmation signals rather than making emotional bottom-fishing attempts.
All decisions need to be based on verified data and personal risk appetite; there is no one-size-fits-all strategy.
Reliable data sources and references
Liquidations and seasons: CoinGlass Liquidation Data, CoinGlass Bitcoin Monthly Returns. Price by exchange: TradingView, Coinbase. Expert opinions: Cointelegraph (Rachael Lucas's statements), Bobby Ong's and Peter Schiff's X.
When citing, always check the source and timing to ensure accuracy and context. Price and market cap information can change rapidly in real-time.
Frequently Asked Questions
Why were more than $900 million in positions liquidated in 24 hours?
As BTC broke below $109,000 on Coinbase, it triggered a series of leveraged position liquidations, mainly longs, according to CoinGlass. A sell-off of 24,000 BTC contributed to accelerating the liquidation wave (Cointelegraph).
Why did the BTC price on Coinbase drop quickly below $109,000?
Thin liquidity, especially on weekends, combined with large-scale orders causes volatility to be amplified. Price data by exchange on TradingView recorded a rapid drop before a slight rebound.
Is Ether performing better than Bitcoin?
Yes. ETH dropped to $4,340 but is still above last week's low. Institutions continue to show more interest in Ethereum in the short term, according to notes cited by Cointelegraph.
Is September usually bad for cryptocurrencies?
History shows that September is often less positive for Bitcoin, with significant declines recorded in 2017 and 2021, according to CoinGlass's monthly return data.
What indicators or data sources should be monitored?
Liquidation data and seasons: CoinGlass. Charts by exchange: TradingView. Macro signals: official Fed channels and major financial news outlets. Always cross-check before making decisions.
Source: https://tintucbitcoin.com/crypto-bi-thanh-ly-900-trieu-usd/
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