Perpetual Futures Liquidations Top $316M — ETH, BTC, SOL Suffer Major Long Squeezes
Perpetual futures liquidations exceeded $316 million within 24 hours after rapid price declines triggered mass margin calls and forced closures. The largest impact hit Ethereum (≈$182M liquidated; ~67% longs), followed by Bitcoin (≈$111M; ~57% longs) and Solana (≈$23.4M; ~77% longs). Earlier reports of $132M in liquidations likely reflected an initial phase; subsequent price moves and cascading margin calls pushed the total far higher. High leverage in perpetual contracts, rising funding-rate pressures and concentrated open interest amplified selling pressure and produced long squeezes across markets. Traders should monitor funding rates, open interest and liquidation data; reduce leverage, tighten position sizing and use stop-losses to manage risk. Short-term effects are likely heightened volatility, continued deleveraging and potential consolidation; the longer-term direction will depend on whether forced selling establishes a local bottom or provokes deeper corrective pressure. Primary SEO keywords: perpetual futures, liquidations, leverage, funding rates; secondary keywords: long squeeze, margin calls, open interest, deleveraging.
Bearish
Massive perpetual futures liquidations—concentrated in ETH, BTC and SOL—increase immediate downside pressure. Large long-side liquidations and funding-rate-driven deleveraging typically trigger cascade selling, elevating volatility and depressing prices in the short term. The reported distribution (ETH largest, SOL with highest long share) implies heavy short-term bearishness for those tokens. However, the event can also clear leverage and open interest, setting the stage for consolidation or a local bottom once deleveraging finishes; that suggests the medium-to-long-term impact is uncertain and dependent on subsequent buyer demand and macro conditions. For traders, expect short-term downward momentum, heightened volatility and the need for tighter risk controls; any bullish reversal would require sustained buying and declining forced-sell pressure.