Crypto market faces $1bn liquidation wave as Bitcoin slides

Forced liquidations in crypto exceeded $1 billion within a 24-hour span as Bitcoin dropped to $80,393 on Thursday. CoinGlass data shows roughly $930 million of that total came from long positions.

The selloff comes two days before the one-year mark of October 10, 2025, when a crash erased about $19 billion in trades. That week Bitcoin touched a high near $126,200 and has never recovered that level since.

How Likely Is Another Market Crash?

A liquidation occurs when an exchange closes a trade that was funded with borrowed money after losses consume the trader's deposit. Each forced closure can set off the next one.

Thursday's wave marked the largest long-position wipeout in 90 days on CoinGlass. Over $600 million was liquidated in a single hour, the highest hourly figure in a month.

Still, the total comes to roughly one-nineteenth of last year's amount. The data so far does not match worries about a repeat of the 10-10 crash.

Pressure came mainly from outside the crypto space. Fed minutes released on October 7 showed most officials viewed another rate hike as likely appropriate before year-end.

The 10-year Treasury yield hovered near 5.3%, and Brent crude traded at about $105. Meanwhile, US spot Bitcoin ETFs saw $487 million in outflows, the largest total since late June, according to SoSoValue.

Ethereum dropped more sharply, losing 4.1% to settle at $2,460.

Analysts Split on Whether Bitcoin Holds $80,000

On Thursday morning, BeInCrypto pointed to $81,000 as the next key level to monitor, citing Glassnode data on the largest buy orders at Binance. Bitcoin broke through that level within hours before climbing back above it.

NOW: Bitcoin falls below $81,000. pic.twitter.com/Qei5mzKmNs

— CoinGecko (@coingecko) October 8, 2026

Glassnode places the next cluster of leveraged bets around $75,000.

Meanwhile, analyst Rekt Capital described Sunday's weekly close — the final price of the week — as decisive.

“Bitcoin is currently failing its retest of ~$82500. Weekly Close below $82500 and turn it into resistance however and Bitcoin will be back in its Macro Accumulation Range,” the analyst stated.

Elsewhere, trader Ted Pillows said losing $81,500 to $82,000 could push Bitcoin to $75,000. Analyst Michaël van de Poppe held the opposing view.

I've said this before, but this is the area where you'd want to become interested into buying #Bitcoin.

Quite an organic correction on the markets and therefore retesting the previous zone of consolidation.

— Michaël van de Poppe (@CryptoMichNL) October 8, 2026

However, Glassnode analysts say the latest rally was driven by existing holders rather than new capital. Inflows from ETFs, stablecoins, and corporate treasuries have been declining.

Saturday's 10/10 anniversary also arrives with US diesel at roughly $6.41 per gallon, about 73% above a year earlier, according to AAA. BeInCrypto highlighted the new oil market threat on Wednesday.

The next macro event comes on October 14, when US September inflation data is set to be released. Until then, the Bitcoin price sits between a $75,000 downside target and an $82,500 level bulls need to reclaim.