The post $1.1T gone! Here’s why the crypto market could see another liquidation cascade appeared on BitcoinEthereumNews.com. Key Takeaways Is another crypto market wipeout likely? With $1.1 trillion erased and macro volatility returning, the crypto market remains vulnerable to cascading losses. How are investors positioning? Thin bid support and high leverage risk are tilting investor preference toward stocks, while crypto struggles to find a stable footing. Is the crypto market gearing up for another October-style cascade? From a capital-flow standpoint, that setup isn’t unrealistic. Over the past 41 days, the crypto market has erased $1.1 trillion in total market cap. And still, the market cap is 10% below the levels seen during the October crash. In short, a real market recovery hasn’t kicked in yet.  As a result, HODLers’ patience is getting seriously stress-tested. And with macro volatility returning, conditions are tightening fast. So is the market gearing up for another major wipeout before a real recovery begins? Crypto market fragility reaches a breaking point The market is so fragile that one bearish move could trigger a cascade. To begin with, the TOTAL Crypto Market Cap has printed back-to-back red candles, reflecting nearly a 20% outflow over the last three days alone. As a result, roughly $1.8 billion has been flushed out of the derivatives market. Notably, 73% of these liquidations came from long positions, totaling $1.3 billion. This, in turn, supports Tom Lee’s recent argument that leverage is eroding investor risk appetite, keeping any meaningful recovery on hold. Source: CryptoQuant Building on that, the data is consistent with what’s happening on-chain. Bitcoin [BTC] reserves have started to rise again, with holdings on CEXs climbing 0.63% over the past three days to 2.395 million BTC. In practical terms, that’s 15k BTC flowing back, roughly $1.4 billion at current prices. Put simply, the crypto market doesn’t have a strong enough bid to absorb more volatility. So the real… The post $1.1T gone! Here’s why the crypto market could see another liquidation cascade appeared on BitcoinEthereumNews.com. Key Takeaways Is another crypto market wipeout likely? With $1.1 trillion erased and macro volatility returning, the crypto market remains vulnerable to cascading losses. How are investors positioning? Thin bid support and high leverage risk are tilting investor preference toward stocks, while crypto struggles to find a stable footing. Is the crypto market gearing up for another October-style cascade? From a capital-flow standpoint, that setup isn’t unrealistic. Over the past 41 days, the crypto market has erased $1.1 trillion in total market cap. And still, the market cap is 10% below the levels seen during the October crash. In short, a real market recovery hasn’t kicked in yet.  As a result, HODLers’ patience is getting seriously stress-tested. And with macro volatility returning, conditions are tightening fast. So is the market gearing up for another major wipeout before a real recovery begins? Crypto market fragility reaches a breaking point The market is so fragile that one bearish move could trigger a cascade. To begin with, the TOTAL Crypto Market Cap has printed back-to-back red candles, reflecting nearly a 20% outflow over the last three days alone. As a result, roughly $1.8 billion has been flushed out of the derivatives market. Notably, 73% of these liquidations came from long positions, totaling $1.3 billion. This, in turn, supports Tom Lee’s recent argument that leverage is eroding investor risk appetite, keeping any meaningful recovery on hold. Source: CryptoQuant Building on that, the data is consistent with what’s happening on-chain. Bitcoin [BTC] reserves have started to rise again, with holdings on CEXs climbing 0.63% over the past three days to 2.395 million BTC. In practical terms, that’s 15k BTC flowing back, roughly $1.4 billion at current prices. Put simply, the crypto market doesn’t have a strong enough bid to absorb more volatility. So the real…