Bitcoin tumbles below $116K in bloodbath for crypto longs

More than half a billion in long positions were liquidated across the crypto market on Friday as the price of Bitcoin slipped below $116,000 amid a broader market tumble.

According to CoinGlass data, $585.86 million in long positions were liquidated, with Bitcoin accounting for $140.06 million of that total as it dropped 2.63% to $115,356.

“Dump is a pure leverage flush,” says trader

Ether followed with $104.76 million in long liquidations, falling 1.33% to $3,598 over the same period.

Over the past 24 hours, the crypto market saw 731.93 million in total liquidations. Source: CoinGlass

Dogecoin led the losses among the top 10 cryptocurrencies by market capitalization, dropping 7% over the past 24 hours to $0.22 and wiping out $26 million in long positions, according to Nansen.

Crypto trader Ash Crypto said in an X post on Thursday, “This dump is a pure leverage flush.” He explained:

“Many people longed Alts after they saw ETH pumping hard, so market makers dumped and liquidated the late longs.”

The sudden market downturn led to the liquidation of 213,729 traders over the period, catching many off guard amid recent bullish sentiment. Across the board, a total of $731.93 million was wiped out of the market in short and long positions.

Crypto market sentiment remains strong

It was on July 14 that Bitcoin reached new all-time highs of $123,100, and many held expectations of the uptrend to continue.

Source: Cantonese Cat

Despite the pullback, sentiment remains bullish, with the Crypto Fear & Greed Index posting a “Greed” score of 70 in its Friday update.

It comes as several crypto industry participants recently shared forecasts for higher prices in the crypto market. Galaxy Digital CEO Michael Novogratz said on Thursday that he forecasts Ether to reach $4,000 at least, which is an approximate 9.8% spike from its current price.

Meanwhile, Bitfinex analysts said in a market report on Wednesday that if Bitcoin’s uptrend continues, the next major target will be $136,000.

However, traders are hedging their bets against Bitcoin’s price posting a quick reversal. A return to Thursday’s price of $119,500 would put approximately $3.07 billion short positions at risk of liquidation.