Not so good morning but don’t fuckin grave dance . A lot of people literally wiped out to zero . If you got hit hard then just stay strong . Everything will be fine . These dms are scary when even close friends are liquidated $RENDER $ASTER
Covid Crash: $1.2B liquidated FTX Crash: $1.6B liquidated Today: $19.3B liquidated That’s not just a number it’s one of the biggest wipes the crypto market has ever seen.
The news I heard is that there are many insider details behind this "crash".
It appears that there was an API error across the entire market. All these major players use automated trading strategies to execute trades through APIs. An API (Application Programming Interface) is simply a tool that allows different software to communicate with each other. For example, with 247 Terminal, you can trade on BYBIT or Binance, but the interfaces are different—that's the role of the API.
The problem is that these API endpoints seem to have crashed—most critically, this occurred mainly on DEX (Decentralized Exchanges). These market makers, funds, and trading teams typically run multi-exchange strategies. If there's a small issue somewhere, it's fine—especially if it’s just a CEX (Centralized Exchange), but now DEXs like $ASTER and Lighter have billions in trading volume daily, coupled with Points Programmes, which incentivizes market makers and funds to shift their capital and trades there.
However, once an error occurs, the entire API domino effect can collapse. The result is algorithm errors (potentially buying and selling quantities 20 times the original plan), and market makers will withdraw buy/sell orders, leaving the order book extremely thin, as they don’t want to take risks in case of errors, and all of this happens in a fraction of a second.
When the market plummets 10% in a few minutes, market makers usually step in to "catch the falling knife", at least balancing buy and sell orders; but this time they withdrew the automatic order system, leaving only long positions being liquidated—no one is there to take these liquidated sell orders.
The reason there were so many leveraged positions liquidated this time is not because the leverage was too high, but because the price dropped too steeply. Many people set "safe stop losses" at positions 65% away from the entry price—resulting in them being hit or liquidated anyway.
Many funds holding positions worth over a hundred million dollars were severely impacted; some wealthy individual investors holding certain altcoins were also heavily affected.
This event is similar to the "Covid Crash"; it is not a normal correction in a bull market, but a much more severe systemic issue. In fact, this is not a problem of the market itself, nor is it the fault of any particular participant, but rather a disaster caused by a widespread technical error across the entire market.
By the way, Bitcoin has liquidated the longs, and altcoins are also suffering severely. What actually triggered this crash and the long squeeze was the sharp decline of the S&P 500 index.