Crypto Market Surges Trigger $1.1B in Liquidations as Bitcoin and Ethereum Hit New Highs

The cryptocurrency market witnessed extreme volatility over the last 24 hours, with over $1.1 billion in leveraged positions liquidated, driven largely by aggressive price surges across major tokens including Bitcoin and Ethereum. The dramatic upswing has intensified bullish sentiment, but also delivered a harsh lesson for over-leveraged traders betting against the trend.

📈 Bitcoin Breaks $104K, Ethereum Nears $2,400

Leading the charge is Bitcoin (BTC), which soared past $104,000, setting a new all-time high. This 6% daily increase follows weeks of consistent upward momentum and heightened institutional interest. Meanwhile, Ethereum (ETH) has climbed to $2,400, its highest level in over a year, thanks in part to its recent Pectra upgrade which enhanced network scalability and reduced gas fees.

Other top-performing cryptocurrencies include:

  • BNB: Up 2.6%, trading at $638

  • XRP: Rising 3.5% to $2.36

  • Cardano (ADA): Up nearly 5% to $0.78

  • Solana (SOL): Also posting double-digit gains, closely tracking Ethereum’s rally

The global crypto market cap now stands at an impressive $3.26 trillion, reflecting a 5.54% increase in the past 24 hours.

💥 $1.1 Billion in Liquidations as Shorts Get Squeezed

While bulls are celebrating the surge, bears are reeling from a wave of forced liquidations, particularly on Ethereum and Solana derivatives. According to on-chain analytics firm Coinglass, more than $1.1 billion in crypto positions were liquidated across major exchanges like Binance, Bybit, and OKX.

A large portion of these liquidations were short positions, bets that the price would fall, caught off-guard by the sudden upward momentum. Ethereum alone accounted for over $400 million in liquidations, followed by Bitcoin and Solana.

“We’re seeing a classic short squeeze scenario,” said crypto analyst Lina Zhao. “Traders expecting a pullback got steamrolled by a wave of buying pressure, fueled by bullish fundamentals and retail FOMO.”

🔍 Catalysts Behind the Rally

  • Ethereum’s Pectra upgrade, which rolled out earlier this week, has reinvigorated confidence in the network’s scalability roadmap.

  • Institutional inflows into Bitcoin continue to rise, with ETF products gaining traction in the U.S. and parts of Asia.

  • Broader macro sentiment has also helped, as investors rotate into crypto amid weakening confidence in traditional equities.

⚠️ Caution in the Midst of Euphoria

Despite the exuberance, analysts urge caution. Volatility of this magnitude often precedes corrections, especially in overheated markets. Traders using high leverage are particularly vulnerable.

“We’re in a momentum phase, but history shows sharp gains often lead to short-term pullbacks,” warned trader and analyst Rekt Capital. “The key is to zoom out and focus on macro trends.”

Bottom Line: The crypto market is roaring, with Bitcoin and Ethereum breaking barriers and altcoins joining the surge. But as today’s $1.1 billion liquidation wave shows, volatility cuts both ways. Traders and investors would do well to stay alert, manage risk, and ride the momentum wisely.