Bitcoin lost about 3% in recent hours, tumbling to an intraday low near $71,300 as a wave of forced selling swept through crypto derivatives markets. Total liquidations across all digital assets topped $500 million in the past 24 hours, with $135 million of that coming in the last hour alone — a sign traders got caught off guard after a period of relative calm near $74,000.
Longs take the brunt
Long positions — bets that prices would keep climbing — accounted for the vast majority of the liquidations. Many traders had expected Bitcoin to hold its ground after stabilizing near $74,000 over the weekend, but the market failed to hold that level. Ethereum also posted heavy liquidation volumes, contributing to the broader wipeout. The speed of the selloff suggests leverage built up during the recent range-bound days snapped all at once.
A defensive shift
The price action is pushing the market into a more defensive, bearish posture. Bitcoin had attempted to stabilize in the $74,000 zone but couldn't sustain momentum into the new week. Now the focus turns to the $71,000 mark. A deeper break below that level would likely intensify selling pressure, according to the prevailing market tone. The timing isn't great — with the weekend already showing signs of exhaustion, Monday's drop compounds the sour mood.
With $500 million in positions wiped out, a lot of leverage has been cleared from the system. That can sometimes set up a bounce, but the immediate trajectory depends on whether Bitcoin can hold above $71,000. If sellers push through, the next support levels will be tested quickly. For now, the derivatives market is licking its wounds and traders are watching for any further downside before stepping back in.
