Crypto liquidations surged past $1.9 billion over 24 hours as Bitcoin fell to $63,320, marking its lowest point since mid-August. The decline extended a broader pullback that saw Bitcoin slip below $69,000 on Friday.
Long positions bore the brunt of the liquidations, accounting for approximately $1.8 billion of the total, or roughly 93% of all positions wiped out. Short liquidations reached $123.5 million during the same period. Selling pressure intensified in the final four hours, when $925 million in positions were liquidated, nearly all representing bullish bets.
Crypto's total market capitalization declined nearly 6% in 24 hours to $2.3 trillion, with major digital assets recording double-digit losses. Ether fell nearly 10% to below $1,800, BNB dropped 9%, XRP lost 11.5%, and Solana declined 12%. Additional declines included Aster down 24%, Pump.fun and Uniswap each down 18%, and Internet Computer, Worldcoin, Ethena, and Bittensor each down approximately 16%.
Market sentiment deteriorated significantly, with the Crypto Fear & Greed Index dropping to 13 on Saturday, down from 20 the previous day—the lowest reading since early July.
Inflation concerns and monetary policy
October's Consumer Price Index data showed a 0.4% monthly increase in headline prices, a 0.3% rise in core CPI, and a 0.5% gain in services excluding rent. The inflation figures renewed discussion about whether the Federal Reserve might raise rates by 50 basis points in December.
James Butterfill of CoinShares noted that tighter monetary policy, renewed selling by large Bitcoin holders, and weaker sentiment in the technology sector could constrain Bitcoin's upside. Butterfill stated that weaker performance in artificial intelligence and technology stocks was reducing risk appetite more broadly.
Butterfill cautioned that three consecutive firm core inflation readings suggest persistence rather than an emergency, and that the Federal Reserve has limited precedent for treating them as such. He added that his base case remains Bitcoin trading broadly between $60,000 and $90,000 until material changes occur.
A significant rise in Treasury yields toward 6% or 7% could eventually lead to more aggressive intervention in bond markets, potentially shifting the conversation from whether Bitcoin dislikes higher rates to whether investors trust the monetary response required to contain them, Butterfill noted.
