Bitcoin dropped to $58,000 as $450M leveraged longs liquidated in 60 minutes

Crypto markets saw $450M in leveraged long liquidations as Bitcoin fell to $58,000, triggering forced selling, volatility, and a sharp market drop.

Crypto markets saw a huge shock as about $450 million in leveraged long positions were wiped out in just 60 minutes, showing how fast trading can turn risky when prices move sharply.

Crypto markets saw $450M in leveraged long liquidations as Bitcoin fell to $58,000. (Pexel/Representative image) (Pexel)

Crypto liquidation crash

Bitcoin fell to around $58,000 after the sell-off, hitting one of its weakest levels since late 2024 and shaking trader confidence. The $58,000 level is now a key “battle zone,” where buyers are trying to support the price while sellers are trying to push it lower. A large part of the drop was not due to any weakness in Bitcoin’s technology or adoption, but due to forced selling from leveraged trades.

Bitcoin leverage trading risk

Leveraged long positions mean traders borrow money to bet that Bitcoin will go up, which increases both profit and risk. When Bitcoin falls below a trader’s liquidation price, exchanges automatically sell their position to protect the borrowed money, as per the report by CoinGlass. This forced selling creates more downward pressure, which triggers even more liquidations in a chain reaction called a “liquidation cascade.”

There is a comprehensive set of data showing that if Bitcoin was to plummet below the $58,000 mark, long positions in the market valued at around $1.6 billion will be at risk of evaporating. The waves seem erringly similar to one seen earlier in June, when around $1.5–$1.6 billion also hit the market within 24 hours, mostly from over-leveraged long traders, as per CoinGlass historical data.

The recent price drop was also influenced by US jobs data and broader economic uncertainty, which reduced demand for risky assets like crypto. Around $1.5–$1.6 billion also hit the market within 24 hours, mostly from over-leveraged long traders, as per CoinGlass historical data. The recent price drop was also influenced by US jobs data and broader economic uncertainty, which reduced demand for risky assets like crypto.

Bitcoin price prediction markets

The movement of Bitcoin has been pretty tight, hovering between $58,000 and $63,500, making the buyer- seller dynamic look volatile, as prediction markets Kalshi and Polymarket continue to bet on Bitcoin falling off the $58,000 mark. Its already close, touching $59,000 intraday lows, showing early signs of weakening momentum, as noted by Crypto Briefing. The situation highlights a key risk for investors: when too many traders use leverage in the same direction, even small price drops can trigger large, fast sell-offs.