October 2026 saw $12.5 billion in total crypto liquidations, with bullish traders absorbing the majority of forced position closures. Long positions accounted for $9.213 billion of the wipeouts, while short positions lost $3.29 billion.
Distribution of Losses
Roughly 74% of October's liquidations hit traders betting on rising prices. These long positions, which used borrowed funds to magnify their bets, suffered the steepest losses when the market moved against them.
The worst single day occurred on October 30, when nearly $1.67 billion was liquidated in one session. Long positions represented 86% of that day's forced closures. Daily liquidation spikes exceeded $500 million on several occasions throughout the month.
Market Conditions and Exchange Activity
Bitcoin traded between $76,000 and $84,000 during October. Dips below $80,000 triggered waves of long liquidations, with the cryptocurrency sliding near $76,400 amid month-end turmoil.
Bitcoin and Ethereum were the primary assets driving liquidation volumes. Binance, Bybit, OKX, and Hyperliquid led exchange activity, with Binance accounting for roughly half of total trading volume.
Security Incident Impact
A security incident was reported at Binance on or around October 30, with an estimated impact of $6.3 billion. The incident coincided with the month's heaviest liquidation day and broader market downturns. With Binance controlling approximately half of trading volume, the incident's effects extended beyond the single exchange to influence prices and liquidation activity across other venues.
Broader Context
Inflation data and Federal Reserve signals added uncertainty throughout October, contributing to market volatility.
