$498M liquidated from crypto market in past 24 hours as short sellers get crushed

Nearly half a billion dollars in leveraged crypto positions were forcibly closed over the past 24 hours, with short sellers absorbing the vast majority of the damage. According to CoinGlass data, total liquidations across the crypto market hit $498 million. Of that total, $329 million came from short positions. More than 126,000 traders were affected across the board.

Bitcoin and Ethereum lead the carnage

Bitcoin traders bore the brunt of the liquidation event, with roughly $184 million in BTC positions wiped out. Ethereum wasn’t far behind at approximately $168 million in liquidations.

Bitcoin surged to a session high of $75,900, its highest level since early February. Ethereum climbed toward $2,300, gaining over 2% on the day. When leveraged shorts are stacked up and the price moves against them, exchanges automatically close their positions to prevent further losses. Those forced closures create additional buying pressure, which pushes prices higher, which triggers more liquidations.

Institutional money is doing the heavy lifting

The timing of this liquidation wave coincided with a notable surge in institutional capital flowing into crypto through spot ETFs. Spot BTC ETF inflows totaled $767 million over the preceding week. ETH ETF inflows reached $160.8 million during the same period.

Strategy, the company formerly known as MicroStrategy, was among the major buyers adding to their positions. The Fear & Greed Index rose to 28, still firmly in “fear” territory, but representing the highest reading since late January 2026.

What the short-covering dynamics mean for traders

The key variable to watch going forward is whether institutional ETF inflows can maintain their current pace. The $767 million in BTC ETF inflows over a single week is substantial. Bitcoin touching $75,900 while the Fear & Greed Index sits at just 28 means the market is rallying while most participants are still nervous. Managing position size and leverage remains critical in a market that can move $498 million in liquidations in a single day.

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