Crypto Meltdown Deepens: $90B Vanishes in an Hour as Traders Face $1.3B in Forced Liquidations

NewsBTC

Virtuals Protocol / USD Coin

0.00%

Virtuals Protocol / Tether

+0.72%

The crypto market has entered one of its steepest sell-offs in months, erasing over $90 billion in market value within just one hour and triggering more than $1.3 billion in liquidations as leveraged positions were wiped out across exchanges.

Related Reading: Rare Chart Formation That Led To An 87% XRP Price Crash Has Resurfaced

Bitcoin (BTC) plummeted below $105,000, extending a sharp correction that began late last week, while major altcoins such as Ethereum (ETH), Solana (SOL), and XRP followed suit with double-digit losses.

Fed’s Hawkish Stance Sparks Risk-Off Panic

The latest crash stems largely from renewed Federal Reserve hawkishness that reignited fears across global risk markets.

Despite cutting rates by 25 basis points in October, Fed Chair Jerome Powell signaled that further rate cuts are not guaranteed, stressing that inflation remains “on the wrong path.” His remarks strengthened the U.S. dollar and sent shockwaves through speculative assets, including cryptocurrencies.

Adding to the pressure, the U.S. Dollar Index (DXY) surged to over 100, its highest level since August. Analysts noted that the move triggered technical selling as Bitcoin lost its critical $110,000 and $106,000 support zones. Institutional investors began offloading positions through U.S. spot Bitcoin ETFs, amplifying the downtrend.

Mass Liquidations Wipe Out Over 300,000 Traders

According to data from CoinGlass, total liquidations exceeded $1.37 billion in 24 hours, with long positions accounting for nearly 90% of the total.

Bitcoin led the way with over $396 million in liquidated assets, followed closely by Ethereum at $368 million. The largest single liquidation event occurred on HTX Exchange, where a $47.8 million BTC-USDT long position was closed out.

The Crypto Fear and Greed Index has fallen to 21, deep in “Extreme Fear” territory. More than 327,000 traders have been wiped out in the past day, a figure reminiscent of the October 11 flash crash, when 1.6 million traders faced similar losses.

Altcoins Bear the Brunt as Market Cap Sinks

Altcoins faced heavier losses than Bitcoin amid thin liquidity and cascading sell orders. Solana (SOL) dropped below $160, down 8%, while Ethereum slipped 5% to $3,500. XRP and Cardano (ADA) also tumbled over 5.5%. The total crypto market cap has shrunk below $3.5 trillion, its lowest level since July.

Related Reading: From Greed To Terror: Bitcoin’s Fall Below $104K Sparks Extreme Fear

Market analysts see the correction as a “healthy reset” after months of aggressive rallies. However, if Bitcoin breaks below the $100,000 psychological support, experts warn of an additional 5–8% downside across the broader market. For now, traders are bracing for heightened volatility as the crypto storm intensifies.

Cover image from ChatGPT, BTCUSD chart from Tradingview

Risk Warnings and Disclaimers

You understand and acknowledge that there is a high degree of risk involved in trading. Following any strategies or investment methods may lead to potential losses. The content on the site is provided by our contributors and analysts for information purposes only. You are solely responsible for determining whether any trading assets, securities, strategy, or any other product is suitable for investing based on your own investment objectives and financial situation.

Risk Disclosure

The risk of loss in trading financial instruments such as stocks, FX, commodities, futures, bonds, ETFs and crypto can be substantial. You may sustain a total loss of the funds that you deposit with your broker. Therefore, you should carefully consider whether such trading is suitable for you in light of your circumstances and financial resources.

No decision to invest should be made without thoroughly conducting due diligence by yourself or consulting with your financial advisors. Our web content might not suit you since we don't know your financial conditions and investment needs. Our financial information might have latency or contain inaccuracy, so you should be fully responsible for any of your trading and investment decisions. The company will not be responsible for your capital loss.

Without getting permission from the website, you are not allowed to copy the website's graphics, texts, or trademarks. Intellectual property rights in the content or data incorporated into this website belong to its providers and exchange merchants.

Recent Searches

Top Searches

Markets

Analysis

User

24/7

Economic Calendar

Education

Data

Crypto Meltdown Deepens: $90B Vanishes in an Hour as Traders Face $1.3B in Forced Liquidations

Risk Disclosure