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Crypto Liquidations Wipe $646M as Bitcoin, Ether Prices Fall

Crypto Market Faces $646M Liquidations as Bitcoin and Ethereum Prices Drop Sharply

  • Nearly $646 million in leveraged crypto positions were liquidated across major exchanges early Monday.
  • Long positions accounted for about 90% of liquidations, with a $14.5 million EthereumUSDC order being the largest single liquidation.
  • Binance, Hyperliquid, and Bybit each recorded more than $160 million in liquidations during the Asian trading session.
  • Bitcoin and Ethereum prices dropped over 5% and 6%, respectively, as forced selling pressured the market.
  • Market volatility remains high amid fragile risk appetite and thin liquidity, with open interest declining in BTC and ETH perpetual contracts.

Early Monday, the cryptocurrency market experienced a significant wave of forced liquidations, wiping out nearly $646 million in leveraged positions on major exchanges. This continued the downward trend for bitcoin, ether, and large-cap altcoins after a challenging end to November. According to data, long positions made up nearly 90% of the total liquidations, including a $14.48 million Ethereum-USDC order on Binance.

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Exchanges such as Binance, Hyperliquid, and Bybit each recorded over $160 million in liquidations, reflecting heavy exposure that snapped during the Asian session. Liquidation refers to an exchange forcibly closing a trader’s leveraged position due to inadequate margin funds to maintain the trade.

Bitcoin fell more than 5% to about $86,000, while ether declined over 6% to around $2,815. These losses reversed earlier rebounds from late last week, pushing prices toward the lower levels seen in November. Other cryptocurrencies such as Solana, XRP, BNB, and Dogecoin dropped between 4% and 7%, while Cardano and Lido Staked Ether experienced even larger declines.

Traders attributed the sharp price movements to thin market liquidity and ongoing macroeconomic uncertainties. The market has been unstable following a late November downturn influenced by macroeconomic signals, ETF outflows, and weak weekend trading volumes that depleted crowded positions.

Monday’s liquidations followed a familiar pattern from previous selloffs this year: high long exposure near resistance levels, shifts in funding rates, and rapid forced selling that drove major crypto assets lower within hours. Open interest in bitcoin and ethereum perpetual contracts has continued to fall, indicating a gradual reduction of leverage built up during October’s rally.

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Although market positioning now appears clearer, risk appetite remains fragile. Traders expect that intraday price swings will continue to be pronounced until liquidity improves during the U.S. trading session.

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