Crypto Market Drops as Bitcoin Falls to Below $78,000 and $580 Million in Positions Are Liquidated

Bitcoin, Solana and XRP Slide as Crypto Sell-Off Deepens

The crypto market faced heavy selling pressure after Bitcoin dropped nearly 3.6% to around $77,900, wiping out gains made over the past week when the asset briefly traded above $82,000. The decline triggered sharp losses across major cryptocurrencies, while leveraged traders suffered heavy liquidations.

Solana (SOL) fell 5% to $85.98, extending its seven-day loss to 7%. XRP dropped 4.3% to $1.41, while Ether (ETH) declined 3.3% to $2,189, marking a weekly loss of 5.3%, the biggest decline among major tokens.

Crypto Liquidations Cross $580 Million

Data from CoinGlass showed more than $581 million in crypto positions were liquidated in 24 hours. Around $552 million came from long positions, meaning traders betting on higher prices were hit the hardest, while short liquidations stood at only $28 million.

Bitcoin recorded the biggest losses with $189 million in liquidations, followed by Ether at $151 million. The largest single liquidation was a $21.59 million BTCUSDT position on Bitget.

Bond Market Pressure and Inflation Fears Hurt Risk Assets

The crypto sell-off happened alongside weakness in traditional markets. The S&P 500 fell 1.2%, marking its worst session since March, while semiconductor stocks also declined sharply.

Rising bond yields, stronger inflation data, higher oil prices linked to the Iran conflict, and concerns around the Strait of Hormuz disruption pushed traders to reduce expectations for Federal Reserve rate cuts. Instead, markets are increasingly pricing in the possibility of future interest-rate hikes, adding pressure on both stocks and crypto assets.