Cryptocurrency Year-End "Nightmare": 260,000 People Liquidated, $900 Million Vaporized Overnight
The December crypto market kicked off with a "thrilling drama" as Bitcoin plummeted 8% in a single day, falling below $84,000, while Ethereum nosedived 10% to around $2,700. This plunge directly triggered a "liquidation waterfall," with over 260,000 people liquidated within 24 hours, and $941 million in funds evaporating instantly. In the crypto community, jokes about "see you on the rooftop" flooded the chats, as many high-leverage players fell from the "dream of financial freedom" straight into the reality of "turning off the lights to eat noodles."
This crash can be described as a result of an "internal and external attack." The rising expectations of interest rate hikes in Japan caused traders relying on low-yen financing to hastily close their positions; Bitcoin ETF funds continued to flow out, with over $3.5 billion net outflow in November. Without new funds to support the market, it became vulnerable to collapse. Even more deadly was the high-leverage "landmine" scenario, where some players went all in with 200x leverage, triggering forced liquidations with even slight price declines, creating a vicious cycle of "downfall—liquidation—further decline."
Interestingly, the market displayed a "tale of two cities": retail investors panicked and cut losses, while institutions bought the dip against the trend, with major strategic entities increasing their Bitcoin holdings. One netizen joked: "For others, a crash is a disaster; for the big shots, a crash is a sale promotion." In fact, this isn't the first time the crypto market has experienced a "roller coaster"; after Bitcoin hit a new high of $126,000 in early October, it fell over 30% in just two months. Newcomers who entered during the previous euphoria are now the main force behind the liquidations. #加密市场回调 #美联储重启降息步伐 $BTC
