$800 Million in Short Positions Liquidated as ETH, ADA, and DOGE Experience Unprecedented Moves Since 2023

Crypto Market Surge Triggers $750M in Short Liquidations, Led by Ether’s 20% Jump

A massive short squeeze in the crypto market wiped out over $750 million in liquidations over the past 24 hours, with ether (ETH) leading the charge with a 20% surge. According to data from CoinGlass, more than 84% of these liquidations were short positions, as a broad rally lifted major altcoins by 10%–20% within hours, beginning late Thursday.

Ether’s price soared past $2,000 for the first time since early March, while Dogecoin (DOGE), Cardano (ADA), and Solana (SOL) saw double-digit increases, and Binance Coin (BNB) and XRP each gained over 7%. The rally was spurred by renewed bullish sentiment, with traders responding to momentum and positive market conditions.

Liquidations occur when traders’ leveraged positions are forcibly closed by exchanges due to insufficient margin, a phenomenon that can lead to exaggerated price movements. This surge in liquidations may signal a market turning point, where overextended bearish positions are forced to close, potentially leading to a price reversal.

The rally was fueled by bitcoin’s rise above $100,000 on Thursday, with broader market optimism sparked by a trade agreement between the U.S. and the U.K. The liquidations are the highest since the March surge, which saw bitcoin hit $93,000 and caused $550 million in liquidations over the course of a weekend.

In April, a similar rally in ETH and DOGE wiped out $500 million in shorts, but this latest event surpassed those figures, showing a return of risk appetite among investors. The largest share of the losses came from Binance and OKX, which accounted for over $500 million in liquidations. ETH alone was responsible for more than $310 million, while bitcoin-related futures accounted for $375 million.

ETH’s recent price surge comes after a period of consolidation, where low institutional and retail interest left the asset range-bound. However, the recent Pectra upgrade, a significant protocol overhaul, appears to have rekindled trader interest, possibly contributing to the market’s shift and fueling the latest bullish momentum.