Liquidations Hit $930M as Bitcoin Fell Below $89,000

• The crypto market saw a sharp sell-off driven by macroeconomic factors.
• The bitcoin price dropped below $89,000, dragging other assets down with it.
• According to CoinGlass, daily liquidations totaled nearly $930 million.

On the night of January 21, 2025, the bitcoin price fell below $89,000, according to TradingView. This triggered a wave of futures liquidations, with daily losses totaling nearly $930 million. 

As of writing, the asset is trading around $89,600. The weekly chart shows a drawdown of more than 6%. 

BTC/USDT price on the Binance exchange. Source: TradingView. 

Other crypto assets also sold off alongside bitcoin. In particular: Ethereum — -4.6% on the daily chart, Solana — -2.46%, TRX — -3.77%. 

Top 10 crypto assets by market capitalization. Source: CryptoRank. 

More than 176,000 traders were forced out of their positions. Losses were dominated by long positions, as market participants likely expected a rebound after the correction on January 19. 

Daily futures liquidations in the crypto asset market. Source: CoinGlass. 

The fear and greed index fell by another 13 points. It indicates that sell-side sentiment is dominating the crypto market. 

Crypto asset market Fear and Greed Index. Source: CoinStats.

The crypto market sell-off is likely driven by broader macroeconomic uncertainty. In addition to the factor of US President Donald Trump’s tariff policy, a sell-off in Japanese government bonds also fueled concerns. 

At the same time, stock indices also posted losses, including MSCI — 0.3% and Nikkei — 1.2%.