Bitcoin plunged nearly $2,000 in 20 minutes, about $400 millions in long positions liquidated.

智通财经2026/10/07 03:36

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According to the data, on October 6, 2026, bitcoin fell more than 5% during the session, plummeting nearly $2,000 within about 20 minutes, resulting in the liquidation of approximately $400 million in leveraged long positions.

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According to information from Zhihu Finance APP, data shows that on October 6, 2026, Bitcoin's intraday decline exceeded 5%, plummeting nearly $2,000 within about 20 minutes, wiping out approximately $400 million in leveraged long bets. According to Coinglass data, within just one hour, about $394 million in positions were liquidated, with around $384 million coming from longs—traders betting on price increases. Bitcoin-related positions suffered the largest losses, with approximately $209 million liquidated; Ethereum followed with about $87 million; Solana with around $27 million, and XRP at roughly $11 million.

Expanding the window to 24 hours reveals a significantly magnified liquidation scale. Total market liquidations reached about $1.02 billion, once again mainly driven by long positions.

In the crypto derivatives market, when leveraged traders’ collateral fails to cover their losses, exchanges automatically close positions, dumping assets onto the market. This type of forced selling exerts downward pressure on prices, triggering further rounds of liquidations at lower prices and further intensifying the selling pressure.

This round of selling started with a technical breakdown. Bitcoin fell below a key on-chain support level, an area where buyers had previously stepped in to defend the price.

A small-scale corporate sale also added to the pessimism. Strategy—formerly known as MicroStrategy and the world’s largest corporate holder of Bitcoin—sold 32 BTC, worth around $2.5 million, to pay dividends.

Macro pressures are also mounting. Market-discussed factors include capital rotation into AI concept stocks, robust employment data, rising energy prices, and fading hopes for a near-term Federal Reserve rate cut.

This scenario is nothing new for crypto traders. Perpetual contract leveraged positions amplify what would otherwise be ordinary spot market declines. The drop back to April levels means the market has erased a considerable portion of its gains from recent months.

When approximately $384 million of the roughly $394 million in one-hour liquidations come from longs, it shows that bullish sentiment has become excessively crowded and fragile. For spot holders without leverage, such events are painful but still bearable; for leveraged traders, the size of their positions and margin buffers determine whether they can survive the correction or are completely wiped out.

Strategy’s sale for dividend payments is also worth noting. The question is whether the company’s need to finance dividends will become a recurring source of small-scale sales and how the market will interpret this signal from Bitcoin’s most closely watched corporate believer.

After such a washout, most excessive leverage has now been purged. Traders will watch to see whether Bitcoin can reclaim the lost support level or if those former bottoms now become resistance zones.

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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As of market close, mining and banking stocks recorded the largest declines this week, as investors await the minutes of the Reserve Bank of Australia’s meeting scheduled for October 13. Boosted by a deal between Google and Constellation Energy, uranium mining stocks surged. On Wednesday, the Australian stock market closed slightly lower amid volatile trading, with global yields and oil prices remaining high, leading investors to adopt a wait-and-see attitude. The benchmark S&P/ASX 200 Index closed down 0.1% at 8,727.70 points, having risen as much as 0.2% during the session. The index had gained more than 1% over the past three trading days. The recent bond market sell-off kept the yield on the benchmark 10-year U.S. Treasury above 5.3%, dampening risk appetite among investors. Oil prices rose amid storm threats in the Gulf of Mexico and escalating tensions between Saudi Arabia and Houthi forces. According to BetaShares investment strategist Hugh Lam, despite persistently high bond yields, the stock market remains resilient with global corporate earnings serving as the main support; however, sustaining the rally through year-end is becoming increasingly difficult, especially for long-duration growth stocks. Rising yields signal the market expects higher borrowing costs for governments and corporations, and also anticipates sustained inflation. On the day, banking stocks fell 0.6%, marking their worst single-day performance in nearly a week. Of the “big four” banks, Westpac saw the largest drop, down 1.2%. The market is awaiting the Reserve Bank of Australia’s policy meeting minutes next week for insights into policymakers’ views on inflation, which prompted the central bank to raise interest rates last week to their highest levels in 15 years. September quarter consumer price data, due at the end of October, may provide further clues on the direction of interest rates. The mining sub-index slipped 0.3%, dragged down by falling copper prices. Industry leaders BHP fell 0.7% and Rio Tinto dropped 0.6%. Energy stocks rose 0.5%, driven by uranium miners after Google signed a 20-year power purchase agreement linked to nuclear power generation. Component stocks Deep Yellow, Paladin Energy, and NexGen Energy Ltd gained between 2.5% and 4.6%. New Zealand’s S&P/NZX 50 Index fell 0.1%, closing at 13,684.04 points.

路透社•2026/10/07 06:41