Loading News...
Loading News...

VADODARA, January 26, 2026 — Forced liquidations in cryptocurrency perpetual futures markets reached $478 million over 24 hours. Long positions dominated the carnage. This daily crypto analysis reveals a market structure under severe stress. Bitcoin long positions accounted for 93.88% of its $196 million liquidations. Ethereum followed with 92.9% of $219 million. Solana saw longs make up 96.6% of $63.04 million.
According to Coinness data, the liquidation event unfolded between January 25-26, 2026. Perpetual futures markets triggered massive forced closures. Bitcoin's $196 million in liquidations saw longs bear 93.88% of the pain. Ethereum's $219 million followed a similar pattern. Solana's $63.04 million liquidation showed near-total long dominance at 96.6%.
Market structure suggests a classic liquidity grab. Leveraged bulls faced margin calls as prices declined. This created a cascading effect. Order flow data indicates concentrated selling pressure. The event highlights excessive speculative positioning.
Historically, such skewed long liquidations signal capitulation events. They often precede short-term bottoms. The 2021 cycle saw similar patterns before major rallies. In contrast, the current event occurs amid broader market weakness.
Underlying this trend is the Global Crypto Fear & Greed Index at 20/100. This indicates Extreme Fear sentiment. Market psychology has turned decisively negative. Consequently, leveraged positions became vulnerable to minor price declines.
Related developments include the 60% drop in Foundry USA's hashrate due to winter storms. Network stress compounds market uncertainty. , a dormant Ethereum whale moved $145 million to Gemini. This suggests potential selling pressure.
Bitcoin currently trades at $87,440, down 1.75% in 24 hours. Critical support sits at the Fibonacci 0.618 retracement level of $85,200. This level aligns with the 50-day moving average. A break below would invalidate the current bullish structure.
Ethereum shows similar weakness. Its liquidation cluster created a significant Fair Value Gap (FVG) on lower timeframes. This gap must be filled for healthy price discovery. Resistance now forms at the $2,900 order block from last week.
On-chain data from Glassnode indicates rising exchange inflows. This suggests increased selling pressure. The UTXO (Unspent Transaction Output) age bands show older coins moving. Historically, this precedes volatility.
| Metric | Value |
|---|---|
| Total 24h Liquidations | $478M |
| Bitcoin Long % of Liquidations | 93.88% |
| Ethereum Long % of Liquidations | 92.9% |
| Current Bitcoin Price | $87,440 |
| Crypto Fear & Greed Index | 20/100 (Extreme Fear) |
This liquidation event matters for portfolio risk management. It exposes over-leverage in crypto derivatives. Institutional liquidity cycles typically follow such cleansings. Retail traders often panic-sell at these extremes.
Market structure now shows clear weak hands exiting. This creates potential for a relief rally. However, sustained recovery requires institutional buying. The Federal Reserve's monetary policy, detailed on FederalReserve.gov, remains a key macro driver. Interest rate decisions directly impact risk asset valuations.
"The extreme skew toward long liquidations indicates a market flush. This often resets leverage to healthier levels. However, the Fear & Greed Index at 20 suggests sentiment remains fragile. Traders should watch for a volatility contraction before assuming trend reversal." — CoinMarketBuzz Intelligence Desk
Two data-backed technical scenarios emerge from current market structure.
The 12-month institutional outlook remains cautiously optimistic. Historical cycles suggest such liquidation events often mark intermediate lows. However, the 5-year horizon depends on broader adoption and regulatory clarity. EIP-4844 implementation for Ethereum could reduce transaction costs, potentially boosting network activity.

Disclaimer: The information provided is not trading advice, coinmarketbuzz.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.
coinmarketbuzz.com leverages advanced AI technology to analyze market data. All content is fact-checked and reviewed by our editorial team to ensure accuracy and neutrality.




