In the last 24 hours, the cryptocurrency markets experienced $486.55 million in liquidations, impacting over 157,000 traders. The most significant single liquidation occurred on Binance, with a value of $11.97 million linked to the ETHUSDT trading pair.
Data indicates that the majority of Bitcoin liquidations were from short positions across most exchanges, which aligns with traders’ expectations of declining prices. In contrast, Bitmex recorded mainly long liquidations, suggesting that its users were largely anticipating a price rebound instead of a further downturn.
In the past hour alone, there were $3.72 million in liquidations, which escalated to $24.18 million within a four-hour window. After 12 hours, the total reached $339.92 million, culminating in $486.55 million for the entire day. This trend indicates that traders are still being surprised by the market’s price fluctuations.
The volatility seen in Bitcoin and Ethereum specifically was triggered by a broader sell-off related to recently announced tariffs by the Trump administration. These tariffs are aimed at specific import categories to safeguard domestic producers, augment government revenue, and tackle perceived trade imbalances.
As a policy measure to gain leverage in international trade negotiations, the tariffs injected uncertainty into the global financial arena. Stock markets fell, and cryptocurrencies followed suit as risk appetite diminished. Traders with significant or highly leveraged positions faced margin calls during price declines, leading many to exit their positions hastily.