Bitcoin’s sudden decline from weekend stability caused a rapid liquidation wave, clearing leveraged long positions as selling volume surged sharply on Monday.
Coinglass recorded over 218,000 liquidated traders in 24 hours, with long positions dominating losses amid fast market movement and broken support areas.
Rising global yields pressured risk assets, with institutions selling Bitcoin as stop-loss triggers and leveraged closures accelerated the downward momentum.
Bitcoin began the week with renewed volatility as the asset slipped from weekend stability and moved sharply lower. The sudden decline erased earlier gains and created widespread liquidations across leveraged positions within a short period.
Market Breaks After Weekend Stability
During the weekend, Bitcoin traded around the $91,500 mark, with some attempts by traders to break through resistance at the $93,000 level. The price then settled into a period of uncertainty as traders awaited an indication of which way the market was going to move in the final days of the month. On Monday, Bitcoin's stability ended when it dropped almost 5% in four hours to $85,610 on Binance.
The decline followed the asset’s first green weekly close in four weeks, recorded at $90,360. Market watchers observed that this reversal emerged despite the absence of a clear positive or negative catalyst. The Kobeissi Letter later noted that a spike in selling volume created a fast shift in momentum. They stated that the pressure accelerated as leveraged positions unwound.
Analysts also suggested that structural market fragility contributed to the scale of the drop. Despite this, they stated that the move did not show a change in the broader fundamentals. The rapid shift created immediate stress across the derivatives market as traders reacted to the volatility.
Long Liquidations Dominate the Downturn
Data from Coinglass showed that more than 218,000 traders experienced liquidations within one day. Total losses reached $640.34 million as price pressure intensified. A large share of the liquidations occurred in the final 12 hours, amounting to $579.11 million.
Long exposure accounted for $546.80 million within that same period. Short trades contributed $32.31 million in liquidations. Over the full 24-hour window, long liquidations reached $565.56 million, while shorts accounted for $74.78 million. This wide difference reflected how heavily traders had leaned toward upside continuation.
Broader Conditions Add Pressure to Bitcoin
0xNobler pointed to rising global yields as one factor shaping sentiment. Japan’s two-year yield moved above 1%, suggesting higher borrowing costs. According to the commentary, institutions reacted by selling risk assets, including Bitcoin, during the session. The move lowered support levels and triggered a wave of stop-loss orders.
https://twitter.com/CryptoNobler/status/1995405790388318642?s=20
As the market shifted, technical levels failed to hold during the decline. The break in support fueled cascading liquidations that expanded with each hour. Traders with high leverage saw positions closed rapidly as the market pushed downward.
The downturn unfolded without any single news driver. Analysts noted that structural weakness and an overloaded long market created the conditions for an accelerated drop. As the session ended, liquidation totals and volume spikes reflected the broad pressure across the crypto market.
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