Crypto Bloodbath Wipes Out $1.8 Billion as Overleveraged Traders Pay the Price
TLDR
- Over $1.8 billion in crypto positions were liquidated in 24 hours, marking the largest long liquidation event of 2025
- More than 370,000 traders were liquidated as Bitcoin fell below $112,000 and Ethereum dropped below $4,150
- The crypto market lost over $150 billion in value, falling to $3.95 trillion total market cap
- Options traders are buying puts and pricing in further downside for September despite low implied volatility
- Long-term positioning for the next 3-6 months remains bullish according to options data
Cryptocurrency markets experienced one of their worst days of 2025 on Monday as overleveraged positions triggered a massive liquidation cascade. The selloff wiped out nearly $2 billion in trader positions…
