2026-01-20 01:26:08

The cryptocurrency market experienced a severe shock yesterday. The total market capitalization of digital assets worldwide fell from a high level to $3.13 trillion, with a significant decline. Bitcoin briefly dropped below the $92,000 mark, and nearly all of the top 100 cryptocurrencies by market cap declined.

Market sentiment rapidly deteriorated. The Crypto Fear & Greed Index plummeted from 49 (neutral level) to 42, officially entering the fear zone. This also reflects a sharp shift in investor sentiment.

The hardest hit were leveraged traders. In the past 24 hours, liquidation waves reached the highest level since January. Total liquidations across the network amounted to $660 million to $666 million, with over 235,000 forced liquidations. Long positions suffered the most, with liquidation amounts ranging from $446 million to $533 million, while short positions only accounted for $17.7 million to $220 million, with a huge disparity in losses.

Ethereum and Bitcoin are the hardest hit. ETH total liquidation amount is approximately $105 million, and BTC about $71.13 million.

The root cause of this risk was the geopolitical situation. The market experienced a flash crash in early trading, with Bitcoin dropping 3.79% within an hour, plunging rapidly from around $95,500 to a low of $91,900, followed by a slight rebound. This decline was directly related to escalating trade tensions between Europe and the US— the incoming president issued tariff warnings over Greenland, and the EU considered retaliatory measures. The uncertainty instantly ignited market panic.

BTC-2,11%

ETH-3,57%

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TeaTimeTrader

· 7h ago

Here comes again, this wave of the market is really desperate. 235,000 people liquidated? Oh my, the bulls were really slaughtered this time. --- The tariffs on Greenland have caused panic in the crypto circle. This isn’t just trading crypto, it’s a gamble on geopolitical issues. --- Not even able to hold 92,000, it seems like there will be further dips later on. --- $920 million liquidation, how many people must be eating dirt... Luckily, I didn’t use leverage. --- ETH and BTC both falling, it seems safe-haven assets are useless too. --- The fear index dropped to 42, which basically means the market is completely scared. --- The liquidation amount for longs is so high, the shorts are making a killing. --- After this wave, leverage enthusiasts will have to reevaluate themselves. --- Greenland? What does it have to do with my crypto circle? Yet, the crypto world has been politicized this way. --- A 3.79% drop in just one hour, is this panic-making or what?

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HappyToBeDumped

· 8h ago

Here we go again, every time geopolitical tensions flare up, the crypto world gets wiped out again. I've memorized this rhythm already, haha. This time, the bulls were hit the hardest. Just look at the liquidation data gap to see how many people bet on the wrong direction. Uh... I mean, it just makes me feel pain to watch. Brothers who still believe after breaking 92,000, I really admire your courage.

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AltcoinTherapist

· 8h ago

Here we go again. Every time geopolitical tensions flare up, cryptocurrencies get caught in the crossfire. 230,000 traders get liquidated, it's truly unbelievable... The bears are laughing to death, while the bulls are bleeding profusely. The gap is outrageous. Why do we have to foot the bill for Greenland? What's the thinking behind that... It's again the leverage problem, everyone just can't learn. BTC drops below 92,000, ETH is also suffering. Is this really fear kicking in? This wave of liquidations means someone will be buying the dip again. I'm curious, are the current holders cutting losses or just eating? $660 million just disappeared, that's insane. Geopolitical risks are truly more intense than anything else; the crypto world can't even hide from them.

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MoonMathMagic

· 8h ago

Once again, geopolitical issues are causing trouble, and the crypto world is paying the price. 235,000 traders liquidated, this number is truly staggering. The guys who are long probably regret it now; I told them not to play with leverage. What does Greenland have to do with our crypto circle? A flash crash is just a flash crash. Anyway, I remain firmly bullish. Why is it that every time there's a sharp decline, the bulls are always pushed to the ground and rubbed? Why are the game rules so... speechless. The fear index is at 42. Hey, isn't this the time to get in? Anyone with a bit of courage should be bottom fishing. A liquidation amount of $666 million looks scary, but compared to the total market cap of $3.13 trillion, it's nothing—just a temporary ripple. If nothing unexpected happens, we'll be hearing those hype men shouting about a rebound again.

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WalletDivorcer

· 8h ago

235,000 people forced to liquidate... This is definitely a bloodbath scene, long traders are really beaten to a pulp. The short-selling camp is laughing all the way to the end; the gap is just too wide. It's again the fault of geopolitical issues; the crypto circle is like this—politicians' every fart can cause a dump. Leverage traders are still gambling; I just want to see who can survive this round. Greenland has already been involved; is the trade war about to escalate? When BTC broke below 92K, I knew something was going to happen; reaction was really quick. This time, the fear index plummeted, indicating retail investors are truly scared out of their wits. Longs were liquidated for over 500 million, while shorts are less than 200 million... Is this what you call a cognitive gap? Wait, can it rebound? I think there should still be some bottom-fishers down there.

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VCsSuckMyLiquidity

· 8h ago

Oh my god, 235,000 people liquidated? How brutal is that, the bulls got completely wiped out --- Once again, geopolitical issues are causing disruptions. The crypto world really can't do without these things --- This is awesome, short positions are making a killing, bulls are crying and fainting at the exchange --- BTC dropped below 92k, I knew trouble was coming, why do I always get caught --- A liquidation order worth $666 million, how many dreams have been shattered --- As soon as the tariff warning came out, the market went crazy. The reaction was so fast --- ETH also didn't escape, the heavy damage area was indeed not wrong --- Fear index is at 42, should I buy the dip or keep watching? --- Are the losses of the bulls 20 times those of the bears? The gap is incredible --- A 3.79% drop in one hour, flash crashes are happening more and more frequently --- So now, should I cut my losses or hold on tight, everyone? --- Uncertainty is the biggest enemy, the market is being hijacked by politics --- From 95,500 to 91,900, this rebound is also lacking strength

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