Key Takeaways:
- Bitcoin dropped below $116K, triggering $731M in liquidations, with long positions hit hardest at $585M.
- Over 213,700 traders were liquidated, as Galaxy Digital’s $1.18B BTC sell-off intensified the market downturn.
- Despite the drop, sentiment remains bullish with the Crypto Fear & Greed Index at ~70 and upside targets still cited up to $250K.
Bitcoin fell below $116,000 on July 25, triggering widespread liquidations across the crypto market.
Over $731 million in positions were wiped out in 24 hours, with long trades accounting for more than $585 million.
GM!🌞
— CoinGlass (@coinglass_com) July 25, 2025
This is crazy, 10K #Bitcoin open interest added on Binance BTCUSDT.
Big volatility is coming.https://t.co/VGU0kVivZD pic.twitter.com/mRHVCyHxJ5
More than 213,000 traders were affected, including $140 million in Bitcoin-related liquidations and $104 million tied to Ethereum, which dropped to $3,598.
Dogecoin also plunged 7% to $0.22, causing $26 million in long losses.
The sell-off followed a surge in leveraged positions and coincided with reports that Galaxy Digital moved 10,000 BTC, worth over $1.1 billion, to exchanges.
Bitcoin’s sharp 2.6% drop from recent highs around $120,000 came after a strong rally earlier in the month.
Analysts now see resistance near $118,000 and support around $113,000.
Despite the correction, market sentiment remains in “Greed” territory, and forecasts for Ethereum to reach $4,000 and Bitcoin to hit $136,000 or higher persist.
A rebound to $119,500 could liquidate over $3 billion in shorts, signaling further volatility.
While the dip reflects market fragility, it also highlights the risks tied to excessive leverage in crypto trading.
About The Author
Adam Morris, the co-founder of Crypto Head and a respected crypto expert, offers insightful commentary and analysis on cryptocurrency, NFTs, and the evolving digital landscape.
His extensive experience and features in top-tier publications like Forbes and CNN underscore his deep understanding of the crypto world and its future potential.
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