Liquidation

Liquidation occurs when a trader’s collateral is no longer sufficient to cover their leveraged position’s losses, triggering an automated forced closure by the exchange's liquidation engine. It is a critical risk-management mechanism that ensures the solvency of lending protocols and derivative platforms. In 2026, the focus has moved toward MEV-resistant liquidation models that protect users from predatory "cascades." This tag provides essential information on maintenance margins, health factors, and how to avoid liquidation in high-volatility environments.

15389 Articles

Created: 2026/02/02 18:52

Updated: 2026/02/02 18:52

Bitcoin Faces Resistance as OI Eyes Rebound After Leverage Flush

Bitcoin ($BTC), the leading crypto asset, is still going through a pullback despite a visible ease after the wide-scale leverage flush. Even though the cascading liquidation risk is below its peak levels, Bitcoin ($BTC) is facing considerable resistance while seeking a rise in open interest (OI). As per the data from Axel Adler Jr., a well-known crypto analyst, the flagship cryptocurrency is eyeing short relief rebounds. In this respect, it is endeavoring to overcome the growing downside pressure. The market is still in pullback mode after the major leverage flush, risk of cascading liquidations is below peak, short relief bounces are possible, but a sustainable reversal requires joint growth in both price and Open Interest (or clear spot inflows). pic.twitter.com/5Waj4OEtIH— Axel 💎🙌 Adler Jr (@AxelAdlerJr) October 18, 2025 Bitcoin Eyes Reversal from Ongoing Pullback Zone Based on the new market data, though the leverage flush has calmed to a significant extent, Bitcoin ($BTC) is within the pullback zone. However, the top crypto coin is looking for a rise in open interest (OI). The respective growth could reportedly denote a reversal signal. Additionally, as the historical statistics reveal, open interest (OI) ratios and leverage dynamics, along with pressure scores, have been shaping the price trends. Flagship Crypto Needs Joint OI and Price Growth for Clear Reversal According to Axel Adler Jr., Bitcoin’s ($BTC) current pressure score is considerably down at 17.8%. Even then, there is a possibility for further pullback, irrespective of the notable decrease in leverage flush. At the same time, the open interest (OI) is standing at 315.3K. Keeping this in view, there is a need for a joint growth spree in Bitcoin’s ($BTC) open interest and price levels to mark a clear, sustainable upward shift.

Author: Coinstats

2025/10/19

$536M In Sell Pressure: Why Bitcoin And Ethereum Prices Crashed

The post $536M In Sell Pressure: Why Bitcoin And Ethereum Prices Crashed appeared on BitcoinEthereumNews.com. The cryptocurrency market has been hit with another wave of sell pressure as both the Bitcoin and Ethereum prices plunged sharply, triggering widespread panic and uncertainty. With over $536 million in Spot Bitcoin ETF outflows in a single day, the downturn has sparked renewed fears of an extended bearish phase. Analysts are calling this correction a “Bloody Friday,” a less but still severe reflection of last week’s brutal selloff that wiped billions in the market and saw BTC and ETH spiraling downwards. ETF Outflows Trigger Bitcoin And Ethereum Price Crash The recent crash in Bitcoin and Ethereum prices is being attributed to recent large-scale outflows from US Spot Bitcoin ETFs. Crypto analyst Jana on X social media described the event as one of the bloodiest weekly downturns of the quarter, with Bitcoin tumbling 13.3% in seven days and Ethereum sliding 17.8% over the past month. At press time, Bitcoin is trading slightly above $106,940 while Ethereum sits around $3,870, both suffering steep retracements from their recent highs. Data from SoSoValue shows that Thursday, October 16, saw a staggering $536.4 million in daily net outflows from Spot Bitcoin ETFs, marking the largest single-day negative flow since August 1, when $812 million exited the market. Out of twelve US Bitcoin ETFs, eight registered major outflows, led by $275.15 million leaving Ark & 21Shares’ ARKB, followed by $132 million from Fidelity’s FBTC. Notably, funds managed by other major companies like Grayscale, BlackRock, Bitwise, VanEck, and Valkyrie also reported significant withdrawals. These persistent outflows have now stretched into their third consecutive day, with October 17, just a day ago, recording a massive outflow of $366.5 million. The sustained negative ETF flows underscore waning investor confidence and suggest that the broader market downturn could continue in the near term. Combined with the $19 billion liquidation…

Author: BitcoinEthereumNews

2025/10/19

HMRC Issues 65,000 Letters to UK Crypto Investors on Tax

The post HMRC Issues 65,000 Letters to UK Crypto Investors on Tax appeared on BitcoinEthereumNews.com. Key Points: HMRC sends 65,000 letters to UK crypto investors on tax liabilities. 134% increase in letters from previous year. Market responds with heightened compliance measures. In October 2025, HM Revenue & Customs escalated crypto tax enforcement in the UK, issuing 65,000 reminder letters to suspected tax evaders, marking a 134% rise from the previous year. This increased scrutiny reflects enhanced data access and regulatory oversight, influencing both retail and institutional investors to reconsider their crypto asset management strategies amid tightening tax policies. HMRC Sends 65,000 Letters: A 134% Increase in Tax Enforcement The overhaul has immediate ramifications for cryptocurrency investors, especially those holding significant assets. The change in taxation approach has reportedly compelled some institutional investors to adopt proactive strategies such as asset liquidation and enhanced custody solutions. Major cryptocurrencies, including Bitcoin and Ethereum, are primarily impacted by these shifts. Reactions are mixed across the industry. Asset managers have been adjusting their strategies to meet compliance requirements (Coincu research analysis), while there is a notable absence of public comment from key industry leaders on social media platforms like Twitter and LinkedIn. However, discussion among community members is ongoing, particularly concerning risk management and privacy-focused cryptocurrencies. According to CoinMarketCap, Bitcoin (BTC) is currently trading at $106,923.26, with a circulating supply of 19,936,643 BTC. Its market cap stands at $2.13 trillion, with Bitcoin dominating 58.88% of the market. Over the last 90 days, Bitcoin’s price has declined by 8.81%. Institutional Responses to UK Crypto Tax Initiatives Did you know? In 2021-2022, HMRC issued only 8,329 letters, a stark contrast to the 65,000 sent this year, showing the evolution of regulatory measures in the cryptocurrency domain. According to CoinMarketCap, Bitcoin (BTC) is currently trading at $106,923.26, with a circulating supply of 19,936,643 BTC. Its market cap stands at $2.13 trillion, with Bitcoin…

Author: BitcoinEthereumNews

2025/10/19

Galaxy Analyst Explains Why Bull Run Is Far From Over

The post Galaxy Analyst Explains Why Bull Run Is Far From Over appeared on BitcoinEthereumNews.com. October’s wobble hasn’t broken the cycle, Alex Thorn, Galaxy Digital’s head of research, argues. The note was first sent to subscribers of Galaxy Research’s Weekly Research Brief and later reproduced on X. Thorn says the Oct. 10 sell-off began with high leverage slamming into thin order books, then worsened as exchange auto-deleveraging capped some market-maker shorts and thinned liquidity at the worst point. He cites roughly $19 billion of liquidations as bitcoin slid from an Oct. 6 all-time high near $126,300 to an intraday low around $107,000, with ether falling from about $4,800 to roughly $3,500 before markets steadied into the weekend. Risk appetite faded again as macro jitters resurfaced. Thorn points to softness in chip stocks, a hawkish turn from a Federal Reserve governor, renewed regional-bank worries and geopolitical noise. Classic risk-off markers reinforced the tone, he notes, with gold and silver setting fresh records and the 10-year Treasury yield dipping back below 4%. He also flags a crypto-specific drag: digital asset treasury companies have cooled. He says that with equity prices down across that cohort, there’s less price-insensitive buying to deploy into crypto, which adds to near-term fragility even after the initial washout. Medium term, however, Thorn stays constructive and highlights three forces he thinks can power the next leg higher. First is AI capital spending. He frames the current wave as a real-economy capex cycle led by cash-rich incumbents — hyperscalers, chipmakers and data-center operators — reinforced by significant U.S. policy support, rather than a rerun of a purely speculative dot-com bubble. Corporate budgets and government posture, he argues, point to a long runway. Second are stablecoins. Thorn points our that dollar-linked tokens continue to gain traction as payment rails, broadening participation, deepening liquidity and anchoring more activity on public chains. He believes those plumbing effects can…

Author: BitcoinEthereumNews

2025/10/19

Analysts Reveal the Next Big Crypto Which Can Deliver 10x ROI

One name that keeps coming up is Mutuum Finance (MUTM). This project is developing to turn real lending activity into […] The post Analysts Reveal the Next Big Crypto Which Can Deliver 10x ROI appeared first on Coindoo.

Author: Coindoo

2025/10/19

Uniswap (UNI) Consolidates After Sharp Pullback as Open Interest Drops Over 50%

Uniswap continues to trade within a tight range following a steep decline that has weighed on its short-term market outlook.

Author: Brave Newcoin

2025/10/19

Crypto Surge Revives Investor Optimism

The crypto market exhibits signs of recovery post-major liquidations. Ethereum, Dogecoin, Cardano, and XRP have shown significant gains. Continue Reading:Crypto Surge Revives Investor Optimism The post Crypto Surge Revives Investor Optimism appeared first on COINTURK NEWS.

Author: Coinstats

2025/10/19