Crypto Liquidations Top $2B as Bitcoin Dips to $98K

The crypto market saw a sharp decline on Tuesday, losing approximately $250 billion in value as Bitcoin and Ethereum tumbled amid global economic uncertainty.

Bitcoin dropped under the $100,000 mark for the first time since May, reigniting concerns about weakening investor sentiment. In particular, the flagship cryptocurrency fell to $98,950 before slightly recovering to $102,090 at press time.

This reflects a 5% daily loss and a 10% decline over the past week. Notably, Bitcoin now trades nearly 20% below its all-time high of $126,080, set on October 6, 2025.

Ethereum Suffers Steeper Losses Among Top Tokens

Meanwhile, Ethereum recorded one of its worst single-day drops in recent months. The second-largest cryptocurrency tumbled from $3,628 to $3,097, its lowest level since July.

At around $3,328 by press time, Ethereum remains down by over 8% in the past 24 hours. Other major coins, including XRP, Solana, and BNB, also slipped but showed smaller declines than Ethereum.

Overall, the global cryptocurrency market capitalization currently stands at $3.4 trillion, down 4.2% over the last 24 hours.

Over $2 Billion in Positions Liquidated

The sell-off triggered widespread forced selling across exchanges. Data from CoinGlass showed that approximately $2.10 billion in crypto positions were liquidated in 24 hours. Of this, $1.68 billion came from long positions, reflecting traders’ misplaced bets on price gains.

Ethereum topped the liquidation chart with $655 million, followed by Bitcoin with $614 million. Despite the scale of losses, Tuesday’s liquidations remain far below the $19 billion record set in October 2025.

Stock Market Weakness Adds to Pressure

The crypto sell-off coincided with a decline in major U.S. stock indices. Both the Nasdaq and S&P 500 ended Tuesday lower, dragged down by declines in technology shares.

The synchronized downturn highlighted broader risk aversion among investors amid global market uncertainty.

Macro Tensions and Interest Rate Concerns

Market analysts attributed the sell-off to several macroeconomic factors. Ongoing trade frictions involving U.S. President Donald Trump and China have heightened volatility across markets.

At the same time, liquidity concerns and uncertainty over a potential third U.S. interest rate cut in 2025 have further shaken sentiment.

Although the scale of the current pullback is smaller than October’s crash, many traders appear increasingly cautious following recent volatility.