Traders wiped out: $837 million liquidated as market drops

The crypto market drops 2.8% as memecoins, AI, and Layer 2 tokens take a hit. Meanwhile, liquidations total $837 million.

The crypto market is deep in the red today, with the total market cap falling by 2.8% to $3.94 trillion. Behind this decline are sharp losses in popular categories such as Layer 2 projects, memecoins, and AI related tokens. At the same time, the number of liquidated positions has surged, reflecting growing unease among traders.

Almost $838 million in positions wiped out

In the past 24 hours, a total of $837.79 million worth of positions has been liquidated. Of that amount, $672.76 million came from long positions, while shorts lost only $165.03 million. It’s clear that most traders were betting on rising prices. Ethereum and Bitcoin were hit the hardest, with $296.42 million and $272.37 million in liquidations respectively.

This comes right after Ethereum reached a new all-time high of $4,946 yesterday.

More than 166,000 traders saw their positions fully liquidated.

Meme, Layer 2 and AI tokens under pressure

Multiple sectors in crypto are seeing sharp corrections. Layer 2 projects are down 6.63%, memecoins have dropped by 5.86%, AI tokens fell 5.57%, and GameFi is down 5.53%. Decentralized Finance (DeFi) dropped 4.71%, and Real World Assets (RWA) lost 4.43%.

Bitcoin and Ethereum losing momentum

The two largest coins are also feeling the pressure. Bitcoin fell to $111,142, down 3.04%. Ethereum is now at $4,589, down 3.02% compared to yesterday. Solana took an even bigger hit, losing 3.73% to $196.34. Dogecoin is down 4.47% to $0.219, and TRON has dropped by 3.50%.

Despite the red candles, trading volume remains high. Ethereum saw $24.10 billion in volume over the last 24 hours, while Bitcoin reached $19.93 billion.