Over $585 million in long positions were wiped out across the crypto market on Friday as Bitcoin fell below $116,000 during a broader market downturn.
Data from CoinGlass shows that $585.86 million in long positions were liquidated, with Bitcoin making up $140.06 million of that amount as its price slid 2.63% to $115,356.
“This drop is simply a leverage flush,” says the trader
Ether saw $104.76 million in long positions liquidated as it dropped 1.33% to $3,598 during the same timeframe.
Dogecoin recorded the steepest decline among the top 10 cryptocurrencies by market capitalization, plunging 7% in the past 24 hours to $0.22 and triggering $26 million in long liquidations, according to Nansen.
Commenting on the market drop, crypto trader Ash Crypto posted on X Thursday, “This dump is a pure leverage flush,” adding further context to the sell-off.
“Many people longed Alts after they saw ETH pumping hard, so market makers dumped and liquidated the late longs.”
The abrupt market decline resulted in the liquidation of 213,729 traders, blindsiding many amid a backdrop of recent bullish sentiment. In total, $731.93 million was erased from the market across both short and long positions.
Market sentiment in the crypto space remains resilient
It was on July 14 that Bitcoin reached new all-time highs of $123,100, and many held expectations of the uptrend to continue.
Despite the recent pullback, sentiment in the crypto market remains bullish, with the Crypto Fear & Greed Index showing a “Greed” score of 70 in its Friday update.
This optimism is supported by several industry forecasts pointing to higher prices. Galaxy Digital CEO Michael Novogratz predicted on Thursday that Ether could climb to at least $4,000—an increase of roughly 9.8% from its current level.
Bitfinex analysts echoed the positive outlook in a Wednesday market report, stating that if Bitcoin’s upward momentum continues, the next key target could be $136,000.
Still, some traders are taking a cautious stance. A rebound to Thursday’s price of $119,500 would threaten around $3.07 billion in short positions with potential liquidation.
