Massive Crypto Liquidations Hit $2.24 Billion in 24 Hours

In the past 24 hours, the crypto market experienced considerable liquidations totaling approximately $2.24 billion, primarily affecting Bitcoin (BTC) and Ethereum (ETH), with Binance recording the largest single liquidation of $25.6 million.

The event underscores ongoing volatility and market shifts amid macroeconomic challenges, prompting debates on institutional involvement and recovery prospects.

In total, approximately $2.24 billion in liquidations occurred, affecting major players like Bitcoin and Ethereum. Among these, Binance recorded the largest single liquidation at $25.635 million. Ethereum alone saw liquidations worth $609.89 million.

Centralized exchanges like Binance and BitMEX processed the bulk of liquidations. Whale addresses amassed over 30,000 BTC, indicating some large holders sought opportunities during the decline.

Immediate effects include a sharp drop in Ethereum’s value by nearly 20%, stabilizing above $2,500. Social sentiment remains bearish, reflecting crypto market distress and high volatility.

Financially, the market’s capitalization took a hit, dipping to $3.01 trillion. Experts draw parallels with past macroeconomic shocks, including regulatory news that previously led to forced selling.

Key Figures & Industry Insights

Key figures in the industry, like Arthur Hayes, pointed out the possibility of policy reversals if TradFi crises emerge. This view aligns with Hayes’ stance:

“The beatings shall continue until moral improves. The pain stops when a TradFi outfit is on the verge of bankruptcy. Then the Fed reluctantly joins team Trump and prints that money.”

Current conditions echo prior liquidation events, highlighting systemic vulnerabilities and market reactions.