A dramatic price surge in major cryptocurrencies triggered massive liquidations across derivatives markets, with over $1 billion in short positions wiped out within 24 hours. Bitcoin skyrocketed beyond $116,000 while Ether climbed toward $3,000, creating one of the most significant short squeezes in recent market history.
Data from tracking platform CoinGlass revealed 232,149 traders faced liquidations during the rally. Bitcoin short positions accounted for $570 million of the total losses as prices defied bearish bets.
The broader crypto market reflected strong bullish momentum, with total capitalization climbing 4.4% to $3.63 trillion. This surge demonstrates renewed institutional and retail confidence despite recent market uncertainty.
Analysts presented divergent views on Bitcoin’s trajectory. Some noted concerns about fading momentum after the rapid breakout, while others projected further upside potential. Market technicians cautioned about Bitcoin’s heightened price volatility amplifying risks for leveraged positions.
Traders holding long positions face substantial liquidation risks should Bitcoin’s price retreat. Current data indicates approximately $2.11 billion in long positions could be endangered if Bitcoin dips to $112,000, creating potential volatility for both bulls and bears.