In the recent volatile market, the cryptocurrency market has seen nearly $800 million in liquidations. Among them, Bitcoin (BTC) and Ethereum (ETH) accounted for the largest liquidations, at $277 million and $263 million, respectively. Over-leveraged long positions triggered sell-offs, and concentrated stop-losses exacerbated the market's chain reactions, particularly a BTC/USDT order worth $39.24 million on the HTX platform, which became the key to triggering a series of liquidations.

Liquidation distribution

  • BTC: $277 million

  • ETH: $263 million

  • SOL: $38 million

  • DOGE: $18.7 million

  • XRP: $17.3 million

Data shows that the liquidation wave mainly comes from high-leverage long positions, especially after BTC broke through key psychological levels, triggering concentrated liquidations and cascading sell-offs of downstream assets.

Major cryptocurrency market

1. Bitcoin (BTC)

  • Current price: $111,128.93

  • 24-hour increase: +1.23%

  • 7-day decrease: -1.60%

  • 24-hour trading volume: $64.14 billion

  • Market capitalization: $2.21 trillion (circulating supply of 19.91 million coins)

Bitcoin has recently failed to hold key support levels. Technically, the RSI remains around 39, indicating that the market is approaching oversold territory, but the overall trend remains weak.

2. Ethereum (ETH)

  • Current price: $4,550.53

  • 24-hour increase: +3.15%

  • 7-day increase: +10.72%

  • 24-hour trading volume: $50.49 billion

  • Market capitalization: $55.085 billion (circulating supply of 120.7 million coins)

ETH's performance is significantly stronger than BTC's, recording double-digit weekly increases despite the backdrop of large-scale liquidations, indicating that funds are shifting towards some mainstream altcoins.

Overall market performance

  • Total cryptocurrency market capitalization: $3.86 trillion (▲1.93%)

  • 24-hour total trading volume: $178.89 billion (▼15.12%)

Fear and Greed Index: 47/100 (neutral to cautious), up from yesterday's 43 and last week's 45, indicating a slight recovery in market risk appetite, but sentiment has not turned fully bullish.

BTC's market dominance has decreased to 57.46% (24-hour ↓0.56%), ETH's share has increased by 2.3%, and BNB's price has risen by 4.4%, indicating that funds are slightly rotating towards selected large-cap altcoins.

Risk insights and response strategies

This wave of nearly $800 million in liquidations reminds traders once again:

  1. Reduce leverage multiples and control position sizes.

  2. Diversify positions to avoid concentration in a single asset.

  3. Use limit orders and strict stop-losses to reflect market fluctuations rather than emotional reactions.

  4. Continuously monitor funding rates and exchange concentration to avoid single-point liquidation risks.

Although large-scale liquidations increase market volatility in the short term, they also eliminate excess leverage to some extent, providing a healthier foundation for price discovery in subsequent market movements.

In this wave of liquidations, Bitcoin and Ethereum were at the forefront, with combined losses exceeding $540 million, leading to a chain reaction of liquidations in altcoins. Overall, this exposes the market's leverage risks and leaves room for future recovery. As volatility gradually subsides, traders need to prioritize risk control and be cautious in their positioning to adapt to the investment rhythm in a high-volatility environment.