Crypto Markets Witness $563M in Long Liquidations, Marking Largest Shakeout Since February

The cryptocurrency derivatives market experienced a massive $563 million liquidation of long positions over the 24-hour period ending Dec. 11, marking the largest single-day shakeout since February. According to market data, the volatility disproportionately affected Ethereum (ETH) traders, with the asset accounting for $244 million of the total liquidations. Bitcoin (BTC) followed with $160 million in forced liquidations as prices retreated from recent highs. This significant deleveraging event highlights the risks of high margin usage in the current market environment and represents a major flush-out of bullish leverage. The scale of the liquidations suggests a sharp shift in short-term market dynamics, as traders were caught off-guard by the sudden price correction, leading to a cascade of automated sell orders across major global exchanges.