$420M Crypto Liquidations Signal Leverage Reset Amid Stable Prices

Crypto markets saw $420 million in liquidations over the past 24 hours, led by long positions despite stable prices for major assets. This is being interpreted as a reset of crowded, short-term risk, rather than a straightforward sell-off.

The data shows that long liquidations accounted for $284.38 million, or 67.7% of the total, indicating that bullish leverage unwound first. Ethereum (ETH) led liquidations among major assets, with $33.99 million wiped out, followed by Bitcoin (BTC) at $18.01 million.

Spot markets remained remarkably calm, with BTC trading around $64,198, down 0.06% on the day, and ETH slipping 0.11% to about $1,821. The mismatch between shallow price declines and heavy liquidations underscores that derivatives positioning was doing most of the moving.