The Federal Reserve's (Fed) monetary policy decision once again caused severe volatility in risk asset markets, with cryptocurrency investors bearing the brunt and facing a brutal stress test.
The latest FOMC policy statement—which not only maintained the benchmark interest rate unchanged but also specifically mentioned the inflationary pressures brought about by soaring energy prices and geopolitical crises, and featured an unusual hawkish divergence with four dissenting votes—caused a surge of panic selling in the cryptocurrency market in the short term.
Bitcoin fell below $75,000, while Ethereum approached $2,200.
According to real-time market quotes, Bitcoin (BTC) failed to hold its ground under selling pressure, and its price plummeted in the short term, breaking through the important psychological level of $75,000 . Ethereum (ETH) also experienced a sharp decline, with its price continuing to test lower levels and now approaching the key support level of $2,200 .
This sharp drop, triggered by overall economic data, not only dampened the recent bullish sentiment in the market but also triggered a large number of stop-loss and forced liquidation mechanisms in the derivatives market in a short period of time.
More than 120,000 people across the network were liquidated, and Binance saw a massive liquidation order of 7.9 million Mg.
The sharp, one-sided sell-off immediately triggered a bloodbath in the futures market. According to the latest statistics from cryptocurrency data tracking platform CoinGlass, the bulls suffered extremely heavy casualties in the past 24 hours:
- Total number of people facing forced liquidation: A total of 120,053 people worldwide are facing forced liquidation.
- Total liquidation amount: The total amount of liquidation across the entire network reached a staggering $508 million (approximately 508.24 million) , reflecting the vulnerability of highly leveraged funds in this sharp decline.
Further data shows that the largest single liquidation order in this major market shakeout occurred on the Binance exchange's ETHUSDT trading pair, with a long position valued at a staggering $7.9 million . Given the continued high interest rates set by the Federal Reserve and increased uncertainty, market liquidity may face further pressure. Investors should closely monitor overall economic developments and strictly manage contract leverage risks.
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