Crypto Futures Liquidations Surge to $355M Wiping Out Longs
Crypto futures liquidations initially surged past $260 million in 24 hours as long positions in BTC, ETH and ZEC unwound. In a later 24-hour period, liquidations climbed to $355 million, driven by forced sell-offs in BTC ($160M), ETH ($131M) and memecoin POPCAT ($64.32M), with longs bearing over 75% of the losses. This cascade of auto-liquidations amplified market volatility and highlighted the risks of over-leveraged trading. Traders are urged to improve risk management: use conservative leverage, set stop-loss orders, monitor funding rates and diversify assets. In crypto futures markets, large liquidations often signal a market turning point. For futures traders, preserving capital and understanding liquidation mechanics remain critical.
Bearish
Short-term, these crypto futures liquidations exert bearish pressure by triggering forced sell-offs and amplifying volatility, driving prices lower. In the long term, such liquidation cascades can mark a market trough and potential buying opportunity once selling pressure subsides. However, the immediate impact remains bearish as long positions are unwound and market sentiment turns cautious.