A sharp rally in Krypto -Majors over the past 12 hours triggered the biggest wave of liquidations since May and dried up more than $ 460 million in short positions.
Bitcoin (BTC) rose past $ 111,000, ether (ETH) almost 7% jumped to over $ 2,700, and Solana’s sun climbed over $ 158 and caught traders aimed at the move completely offside.
More than 114,000 traders were liquidated with total losses on topping of $ 527 million, according to Coinglass data. Of this, $ 463 million came from short positions – or geared bets that the market would go lower – while only $ 64 million came from Longs. The biggest liquidation was a $ 51.5 million card on HTX’s BTC-USDT pair.
Liquidations occur when dealers using leverage, or borrowing funds to amplify their positions, are unable to meet margin requirements as prices move towards them. Exchanges by force close these positions to prevent further losses, which often adds fuel to the move itself.
In this case, as BTC and ETH pushed higher, waves of short liquidations may have created sudden price acceleration, forcing several dealers to finish in a cascade.
This reflexive dynamic makes liquidation data a useful trade signal. Sharp spikes in liquidations, especially from one side of the book, often indicate local peaks or bottom bottoms, depending on direction and timing.
Some dealers even place around it, focusing on short presses or long rinsing-outs when the numbers start to hide. When combined with volume and price action, liquidation events often confirm the strength of a trend or signal its exhaustion.
While Bitcoin remains only 2% in the week, ETH and XRP are now both up more than 7%, suggesting that the rally is led by majors outside BTC.
