The cryptocurrency market is collapsing, driven by a wave of liquidations of rare intensity. In 24 hours, more than $2.7 billion has been liquidated, while Bitcoin has fallen to $60,000 and Ethereum to $1,750. Investors fear the slide will continue.
The crypto market is bleeding, losing $340 billion in capitalization in 24 hours
The cryptocurrency market has just experienced one of its worst days, with Bitcoin losing 13% in 24 hours, falling from $73,200 to $62,200.
The BTC correction is even more striking when viewed in context: digital gold has lost 38% of its value in around 20 days and is now down 51% from its historic high of over $126,000, reached in October.
The same scenario applies to Ethereum. The price of ETH has fallen 15% over the day and 64% since its August peak of $4,955. It is now trading at around $1,750. Overall, the entire cryptocurrency market has lost more than $340 billion in capitalization in just 24 hours.
The crypto crash was accompanied by massive liquidations in leveraged markets, with $2.7 billion in positions forced to sell in 24 hours, according to data from Coinglass.
This violent movement is akin to a veritable “stop hunt,” which swept away open positions in the euphoria of recent highs.
Already fragile, market sentiment also continued its decline into the “extreme fear” zone, with the Crypto Fear & Greed Index at 9/100, its lowest level since the 2022 bear market.
How far can cryptos fall?
The question everyone is now asking is: is the worst over, or is there still more blood to be spilled?
From a purely technical standpoint, the market remains under pressure, with critical support levels under threat. For BTC, the $58,000 zone appears to be an important level to defend. If it breaks, a return to $48,000 cannot be ruled out. Ethereum, meanwhile, could slide towards $1,500, the zone where the price bottomed out in the previous bear market.
But what is most worrying is the speed of the fall and the lack of positive fundamentals for Bitcoin. Investors seem to be fleeing both risky and non-risky assets, as evidenced by gold, which has lost 15% since its peak, with liquidations continuing and macroeconomic uncertainty still weighing heavily.
Paradoxically, it is also during these periods of capitulation that long-term buying opportunities emerge. The history of crypto cycles shows that phases of extreme fear often precede the most powerful rebounds.
So, even if a new bearish leg is possible, the market is entering price zones that are historically attractive to patient investors.
