The cryptocurrency market suffered a catastrophic flash crash, triggering significant liquidations and a sharp decline in Bitcoin's value. Over a 24-hour period, nearly $800 million in leveraged positions were liquidated, with a particularly brutal hour witnessing $301.15 million in long positions being wiped out. This rapid sell-off occurred as Bitcoin plunged from highs near $90,600 towards the critical $84,000 support level, catching bullish traders off guard, as long positions accounted for 96% of the immediate damage.

The total market carnage reached $797.91 million over the full day, with $690.26 million stemming from bullish traders who were betting on a breakout to new highs. Bitcoin (BTC) itself fell 5.3% to $84,635, pulling the broader digital asset market down. Hyperliquid recorded the single largest liquidation order of the day, a massive $31.64 million BTC-USD position. Data from CoinGlass shows Hyperliquid processed $137.99 million in liquidations, accounting for nearly 28% of the global total, with Binance and Bybit following in second and third place, respectively.

This swift reversal saw Bitcoin slide to lows in the $84,000 range, marking a roughly 6% drop from its 24-hour highs above $90,000. Heightened volatility around the week's Federal Reserve meeting, coupled with macro uncertainty and a fragile market structure, contributed significantly to the downturn. Federal Reserve Chairman Powell's emphasis on labor market resilience and his refrain from signaling urgency around easing policy proved unfavorable for speculative assets, turning the meeting into a