The “largest liquidation event in crypto history” erases more than $19 billion in positions, impacting over 1.6 million traders.
Crypto Crash: More than 1.6 million traders suffered losses exceeding $19 billion after the cryptocurrency market tumbled following Donald Trump’s announcement of an additional 100% tariff on Chinese imports, Bloomberg reported.
Citing 24-hour data from Coinglass, the report said the “largest liquidation event in crypto history” erased more than $19 billion in positions, impacting over 1.6 million traders. It added that nearly $7 billion worth of holdings were liquidated within just one hour of trading on October 10.
Bloomberg also quoted Brian Strugats, head trader at Multicoin Capital, who estimated the total liquidation could surpass $30 billion, as investors fear a broader market contagion.
Crypto News: Bitcoin, Ethereum Prices on October 11
Data from CoinMarketCap showed that the total cryptocurrency market capitalisation plunged to $3.74 trillion from a record $4.30 trillion the previous day. Daily trading volumes stood at $490.23 billion by market close.
Bitcoin maintained a 59.8% share of the total market, while Ethereum held 12.2%. The remaining 27.9% was spread across other digital assets.
As of 15:34 pm on October 11, Bitcoin was down 7.88% at $111,790, with a market capitalisation of $2.22 trillion. Its trading volume surged 145% to $183.88 billion amid panic selling. Ethereum, meanwhile, declined 11.58% to $3,837, with its market cap at $456.05 billion and trading volume jumping 148.68% to $112.75 billion.
Market Outlook: Analysts Warn of Deeper Correction
Caroline Mauron, co-founder of Orbit Markets, said the next critical support for Bitcoin lies at $100,000, warning that a break below that level would “signal the end” of the three-year bull run.
David Jeong, CEO of Tread.fi, described the ongoing crash as a “black swan event”. He added, “It is likely that many institutions did not expect this level of volatility and with how leveraged perpetual futures are designed, many large traders, including institutions, would have gotten liquidated.”
According to Investopedia, a black swan event refers to a market crash that exceeds six standard deviations, an extremely rare and unpredictable occurrence.
