Forced liquidations of margin positions hit their largest level since August on October 15, with long holders absorbing most of the losses. Bitcoin held above $80,000 and rebounded, and funding rates stayed positive afterward.
Overnight on October 15, the crypto market saw its largest wave of forced liquidations since August. According to CoinGlass, daily liquidation volume reached $939.30 million, and long positions took $791.62 million (84.3%) of the losses.
Ethereum and Bitcoin take the main blow
Ethereum and Bitcoin took the main blow, with $286.11 million and $215.49 million in liquidations, respectively. The largest single liquidation was a $12.03 million long position on the BTC-USDT pair on Binance at $80,208.96.
Altcoins with a high share of retail capital also came under pressure. Forced closures totaled $12.82 million in XRP, $12.32 million in NEAR Protocol and $12.18 million in Dogecoin.
Bitcoin bounces off the 50-day average
During the drop, Bitcoin tested the 50-day moving average, around $81,000, where it met a significant volume of buying. The source says Bitcoin held above $80,000, while the 200-day average sits lower, at $72,000.
A short squeeze followed. According to the source, retail traders opened short positions near the local bottom, and BTC and ETH prices moved sharply upward, closing those positions in a cascade.
In one hour, Bitcoin sellers lost $15.94 million, or 95.2% of hourly liquidations for the asset, while Ethereum short sellers lost $19.41 million.
Afterward, the funding rate on key perpetual futures stayed in a positive range of 0.005%-0.009%, which the source reads as a sign that mid-term optimism persisted.
Source: U.Today
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