The cryptocurrency market suffered severe turbulence in the last 24 hours. The total capitalization fell by 4%. This triggered massive liquidations of $1.3 billion in leveraged cryptocurrency positions. However, one expert trader secured millions in profits by betting against the market.
Market data reflects a deep pullback. Bitcoin (BTC) fell 3.52%, reaching $103,687. Ethereum (ETH) experienced a steeper decline of 6.13%, settling at $3,482. Furthermore, Solana (SOL) led the top-10 losses with a 9.28% depreciation. In total, 336,622 traders were liquidated in the last day. The vast majority of losses, $1.22 billion, came from long positions expecting a rise.
This event highlights the inherent dangers of leveraged trading. November has begun on a grim note, continuing the bearish trend from October. Cascading liquidations occur when prices fall sharply. This forces platforms to automatically close leveraged cryptocurrency positions to cover losses, further exacerbating the crash. The largest single reported liquidation was $47.87 million on a BTC position.
Is crypto trading an abusive relationship we keep returning to?
One analyst described the market cycle as “months of boredom, 3 days of euphoria” followed by “pain”. This sentiment of extreme volatility defines the experience for many. However, not everyone lost. A notable trader, operating on the decentralized platform Hyperliquid, managed to secure over $36 million in unrealized gains. This “whale” had opened short positions on assets like ETH, DOGE, XRP, and PEPE, correctly anticipating the decline.
This trader’s total profits on the platform are approaching $100 million. Reports from the platform indicate the whale has maintained a 100% win rate in recent trades. Likewise, this stark contrast between massive retail trader losses and the whale’s gains highlights the market’s risks. Short-term market stabilization remains uncertain. This episode is a clear reminder of the sector’s volatility.
