Crypto Market-wide Panic: Bitcoin Drops to $82K & $210M Liquidated—Ethereum Also Sees $103M in Losses!

Price drops have caused massive liquidations, with Bitcoin liquidation surge hitting hard, followed by Ethereum and altcoins. The ongoing downtrend has resulted in heavy losses, especially for long positions. Ethereum’s struggles extend to its ETFs and declining network profitability, reflecting weakened investor confidence. Concerns over market stability and shifting investment strategies have fueled further uncertainty. While long-term crypto prospects remain uncertain, current sentiment appears bearish. Traders are adjusting to ongoing volatility, searching for signs of recovery.  

Bitcoin’s Sudden Drop Sparks $566M in Liquidations

On the last day, BTC fell from trading around $86K to now hovering at $82K. This kickstarted a staggering $566.32 million market-wide liquidation in traders’ positions. Such significant liquidations can be the result of panic selling and over-leveraged positions. Statistics show that long positions contribute the most to the liquidation in the market as prices fall once again.

Bitcoin’s Liquidation Nightmare: $210M Wipeout

The Bitcoin liquidation surge was recorded as the highest among cryptocurrencies at $210.16 million. This increase in liquidation can be attributed to BTC’s status as a bigger cryptocurrency. As crypto has the highest market cap naturally, this coin also has the most invested capital, leading to more liquidations. Most of these liquidations were long positions as the sudden fall in value liquidated many futures. The long-term prospects for Bitcoin are still viable; however, amid this downtrend, short-term predictions are bearish.

Chart 1, Provided by CoinGlass, published on CoinGlass March 10, 2025.

As highlighted in Chart 1, big altcoins, including Ethereum (ETH), XRP (XRP), Solana (SOL), and Cardano (ADA) also saw liquidation. Ethereum, the second biggest cryptocurrency, saw $103,62 million, the highest liquidation after Bitcoin. XRP recorded $26.69 million in liquidated positions, while $22,01 million of capital was liquid in Solana’s market. Doge also saw a big spike with $21,34 million, and Cardano recorded $11.70, the lowest amount among these coins. The $67.47 million liquidation for other cryptocurrencies also highlights the market-wide bearish movement.

Ethereum’s Struggles Deepen: ETF Outflows Raise

There are also some other bearish indicators in ETH’s market performance. ETH has fallen even more today, trading near $2,020 as of writing this article. This price point resulted in a nearly 50% decrease in its value since December last year. When compared to last year’s early Q2 ETH price, we also see an almost 50% fall. Ethereum ETF losses have also been persisting, as it lost $120 last week. The week before, these ETFs also lost $335 million, bringing the total of these consecutive losses to $455 million. 

Other than the market-wide downtrends, Ethereum ETF losses could be attributed to other reasons as well. One reason might be the lack of stacking possibility for Ethereum ETFs. Stacking is a system where investors are rewarded returns by locking their tokens to secure the network. Another challenge is Etheruem’s decline as the most profitable network in the industry. The 2025 network fees for ETH’s blockchain are recorded to be around $202 million now, which is lower than some competitors.

Bitcoin and Ethereum Under Pressure: Comeback Incoming?

Bitcoin must reclaim key support levels near $86,000 to spark a recovery. Prices could drop to $80,000 if selling pressure increases, triggering further liquidations. To regain momentum, Ethereum could introduce staking options for ETFs or upgrade its network to improve scalability and lower fees. If interest rates stabilize and regulations become clearer, confidence may return, leading to a rebound. Current market conditions and future macroeconomic factors could push investors toward safer assets, putting the market further down.