Liquidation

Liquidation occurs when a trader’s collateral is no longer sufficient to cover their leveraged position’s losses, triggering an automated forced closure by the exchange's liquidation engine. It is a critical risk-management mechanism that ensures the solvency of lending protocols and derivative platforms. In 2026, the focus has moved toward MEV-resistant liquidation models that protect users from predatory "cascades." This tag provides essential information on maintenance margins, health factors, and how to avoid liquidation in high-volatility environments.

15300 Articles
Created: 2026/02/02 18:52
Updated: 2026/02/02 18:52
Post-Selloff Outlook: Galaxy Expects Smarter, Leaner Crypto Markets to Emerge

Post-Selloff Outlook: Galaxy Expects Smarter, Leaner Crypto Markets to Emerge

A historic wave of crypto liquidations wiped out billions across leveraged positions as markets reeled from a global macro shock, but Galaxy projects a smarter, leaner market ahead—driven by reduced leverage, stronger risk controls, and long-term structural resilience. Galaxy Reacts as Historic Crypto Liquidation Wave Rocks Markets A massive wave of forced liquidations has shaken […]

Author: Coinstats
Elon Musk Mentions Dogecoin Again — Is The Meme Coin About To Rally?

Elon Musk Mentions Dogecoin Again — Is The Meme Coin About To Rally?

Elon Musk waded back into the money-meets-energy debate on X today, endorsing Bitcoin and Dogecoin. The Tesla CEO replied to a viral ZeroHedge thread that framed artificial intelligence as a government-funded arms race that will turbocharge monetary debasement. “True. That is why Bitcoin is based on energy: you can issue fake fiat currency, and every government in history has done so, but it is impossible to fake energy,” Musk wrote, aligning BTC’s value proposition with physical power constraints. Minutes later, when community account Sir Doge of the Coin (@dogeofficialceo) added, “Dogecoin is also based on energy,” Musk replied with a simple “💯,” his first explicit nod toward DOGE in a while, rekindling a long-running price-sensitivity question around his posts. Dogecoin is also based on energy pic.twitter.com/E8BMmAIdm9 — Sir Doge of the Coin ⚔️ (@dogeofficialceo) October 14, 2025 The market reaction, however, was muted. As of press time, Dogecoin traded near $0.196, lower on the day alongside broader crypto risk, with Bitcoin and Ethereum also in the red. Bitcoin was down on the session near $111k, while Ethereum slipped below $4k, underscoring a risk-off tape that likely blunted any “Musk effect” impulse. Related Reading: Dogecoin Cup and Handle Holds A Secret Few Are Seeing Musk’s DOGE remarks arrive amid a separate swirl of Dogecoin-adjacent headlines that caught Washington’s and Wall Street’s attention over the last 48 hours. Representative Matt Gaetz amplified a viral thread, asking, “Is DOGE about to become the world’s great utility token? After being a meme?!” — a rhetorical riff that referenced news circulating about a planned public-markets pivot by House of Doge as the “corporate arm” of the Dogecoin Foundation. Is DOGE about to become the world’s great utility token? After being a meme?! https://t.co/wVXO7eijss — Matt Gaetz (@mattgaetz) October 13, 2025 House of Doge intends to list on Nasdaq via a merger with Brag House Holdings under the ticker TBH, and they also tie House of Doge to a growing Dogecoin treasury effort at CleanCore Solutions, newly branded on the NYSE American as ZONE. The October 13 releases further assert that CleanCore now holds 730 million+ DOGE, targeting up to 1 billion DOGE in the near term and, longer-run, “up to 5%” of circulating supply. Why Hasn’t The Dogecoin Price Reacted Positively? Historically, Musk’s DOGE interactions have triggered sharp, if often fleeting, price responses. During late 2024, for example, a single “true” reply in a payments-context thread coincided with a pop as traders extrapolated X-payments tie-ins, and the October 2024 launch of a dedicated account for its payments initiative on X. Related Reading: What The Weekend Liquidation Event Meant For The Dogecoin Price, And What Could Happen Next More recently, in June 2025, DOGE jumped 3% after Musk defused a political spat. The common denominator: reflexive liquidity and headline-driven order flow that fades unless there’s a real impact on the meme coin. Today’s sequence fits that pattern — a high-engagement Musk quip, immediate social virality, but price constrained by macro tape and the absence of a concurrent, verifiable product or policy reveal. So why didn’t DOGE “go to the moon” on the 💯? First, the tape matters. With majors heavy, meme-beta typically underperforms. Second, the information content of the post is modest: Musk endorsed an energy-based framing and acknowledged a community meme — not a new X Payments feature, not a Tesla-commerce integration, not a tangible DOGE settlement rail. Markets have learned to differentiate between tone and transaction. At press time, DOGE traded at $0.19862. Featured image created with DALL.E, chart from TradingView.com

Author: NewsBTC
K33 Research Director: Large-scale leverage liquidation is conducive to Bitcoin asset accumulation

K33 Research Director: Large-scale leverage liquidation is conducive to Bitcoin asset accumulation

PANews reported on October 15 that according to CoinDesk, Vetle Lunde, head of research at K33, pointed out that although the rebound after last week's flash crash lost momentum on Tuesday, the current decline is a constructive setup and Bitcoin has stabilized after a major leverage reset. In his report on Tuesday, he said that after the recent leverage liquidation, he is constructively optimistic about BTC, but he must remain patient. He pointed out that traders are recovering from forced selling and short-term liquidity may remain low, but such leverage liquidations often mean that the market has bottomed out. He also said: "The current price is very attractive and suitable for increasing BTC spot positions because leverage has been largely cleared. Coupled with a favorable background including expectations of loose policies, high institutional demand and ETF-related catalysts, the current situation is conducive to the gradual accumulation of Bitcoin."

Author: PANews
Analysts Say Historic Liquidation Could Fuel Crypto’s Next Leg up

Analysts Say Historic Liquidation Could Fuel Crypto’s Next Leg up

Crypto markets are powering through historic volatility, transforming the biggest liquidation in history into a defining moment of strength, liquidity, and resilience that could ignite the next explosive phase of global digital asset expansion. Crypto Market Rebounds as Structural Maturity Takes Center Stage Global digital asset markets are regaining stability following the largest liquidation event […]

Author: Coinstats
Crypto maturity demands systematic discipline over speculation

Crypto maturity demands systematic discipline over speculation

                                                                               Unlimited leverage and sentiment-driven valuations create cascading liquidations that wipe billions overnight. Crypto’s maturity demands systematic discipline.                     Opinion by: Lucas Kiely, CEO of Future Digital Crypto’s most significant issue is that it lacks the type of quantifiable value that traditional stocks possess, which makes it entirely speculative. On top of that, investors can leverage trades in a way that can tank billions of dollars overnight.Industry diehards behind the technology argue that blockchain’s innovative infrastructure is what gives it value. Yet there’s very little evidence that this translates into real, tangible gains for tokenholders.Read more

Author: Coinstats
Asia Morning Briefing: Structural Demand Anchors Bitcoin After Record $20B Liquidation

Asia Morning Briefing: Structural Demand Anchors Bitcoin After Record $20B Liquidation

Good Morning, Asia. Here's what's making news in the markets: Welcome to Asia Morning Briefing, a daily summary of top stories during U.S. hours and an overview of market moves and analysis. For a detailed overview of U.S. markets, see CoinDesk's Crypto Daybook Americas. Crypto's largest-ever leverage wipeout has left ...

Author: Coinstats
Lighter will issue 250,000 points to compensate traders affected by the market crash

Lighter will issue 250,000 points to compensate traders affected by the market crash

PANews reported on October 15th that Lighter officially announced a special bonus of 250,000 points to compensate traders affected by last week's market crash. The second quarter of the bonus will be distributed every Friday starting October 17th, with the first installment of 600,000 points covering the past 2.5 weeks. Affected users fall into three categories, with the platform taking full responsibility: First, a performance degradation of the trading platform occurred in the hours before the market crash, resulting in a total loss of approximately $25 million for traders. The platform will compensate them with 150,000 points and a refund of liquidation fees. Second, during the market crash, although the system functioned normally, LLP holders suffered a loss of approximately 5%. The platform partially accepted responsibility, clarified its LLP operations, and compensated LLP holders with 25,000 points. Third, a database failure after the market calmed down, which caused Lighter to shut down for 4.5 hours, resulted in a total loss of $7 million for traders. The platform will compensate them with 75,000 points and a refund of liquidation fees.

Author: PANews
Historic Liquidation Event Highlights Solana Resilience Against Ethereum, Which Is Leading?

Historic Liquidation Event Highlights Solana Resilience Against Ethereum, Which Is Leading?

The sudden and violent market correction triggered by geopolitical shockwaves served as an unprecedented stress test for the entire cryptocurrency ecosystem, exposing critical differences in network architecture. While the multi-billion-dollar liquidation event sent prices plunging across the board, Solana demonstrated remarkable resilience, whereas the Ethereum network and liquidity thinned during the peak volatility. Why Solana High-Performance Design Continues To Shine In an X post, the Nasdaq-listed go-to Solana Digital Asset Treasury (DAT), DefDevCorp, has revealed that when the largest liquidation event in crypto history hit last Friday, most of the market froze, and Ethereum stumbled. However, Solana didn’t flinch, powering through one of the most chaotic trading sessions ever recorded. Related Reading: Solana Shines Bright: Network Excels Amid Largest Crypto Liquidation Event At the peak of volatility, Solana sustained 1,225 transactions per second, finalized blocks in just 350 milliseconds, and saw transaction fees briefly rise to $0.25 before normalizing below $0.01. Meanwhile, ETH’s infrastructure buckled under demand as the network struggled to process beyond 26 TPS. Its block times extended to 15 seconds, and saw average gas fees explode to $616, effectively locking out users and rendering the chain unusable during the crisis. ETH became unreliable, impractical, and effectively unusable during the chaos. As DefiDevCorp noted, when users are priced out and transactions can’t clear, the network might as well be offline. In moments of high load, the core promise of a blockchain to remain accessible, affordable, and reliable must hold. However, after nearly 20 months of uninterrupted uptime, weathering its busiest moments, it’s abundantly clear that SOL’s continued upgrades and optimizations have paid off dramatically.  DefiDevCorp concluded that no other chain currently comes close to handling global value transfer at this scale, under such extreme conditions, with the same level of performance. The takeaway from the firm’s post is that only SOL stays fast, cheap, and usable, even when global markets melt down. Why SOL Price Doesn’t Match Its Reliability A Researcher at alphapleaseHQ and Advisor at KaminoFinance, Aylo, has also mentioned that he had assets and Decentralized Finance (DeFi) positions open on both Solana and Ethereum when the crypto market collapsed last Friday. During this time, he had zero issues using the SOL network, while the ETH network was unusable due to the costs, which often led to market crashes, and the Rabby wallet also went down. Related Reading: No Chain Comes Close: Solana Leads With 2.5x Ethereum’s Revenue Aylo added that the ETH maxis should be much angrier about the performance of their L1. With this development, SOL continues to prove it’s the most performant and reliable blockchain under real-world pressure that we have in crypto. He pointed out that SOL’s valuation doesn’t reflect the resilience it is proving in the digital world. Featured image from Adobe Stock, chart from Tradingview.com

Author: NewsBTC
Celsius Wins $300M From Tether in Bankruptcy Ruling, Far Below $4.3B Claim

Celsius Wins $300M From Tether in Bankruptcy Ruling, Far Below $4.3B Claim

Celsius Network’s bankruptcy estate has secured nearly $300 million from Tether after a United States court approved a settlement that ends their long-running legal fight. The agreement brings closure to one of the most significant disputes in Celsius’s bankruptcy proceedings. However, it covers only a fraction of the $4.3 billion the company originally sought. The Blockchain Recovery Investment Consortium (BRIC), which now oversees Celsius’s restructuring, announced the settlement. The move marks a major step toward completing the firm’s recovery process. BRIC, a joint venture between VanEck and GXD Labs, described the resolution as a significant milestone in closing Celsius’s bankruptcy chapter. Executives React to Settlement GXD Labs managing partner David Proman confirmed that the settlement resolves all claims between Celsius and Tether. He noted that the decision allows BRIC to focus on returning value to creditors without further litigation. Tether shared a similar view. In a post on X, CEO Paolo Ardoino said Tether was satisfied to have settled all matters linked to the Celsius bankruptcy. Tether is pleased to have reached a settlement of all issues related to the Celsius bankruptcy. — Paolo Ardoino 🤖 (@paoloardoino) October 14, 2025 Celsius vs. Tether Celsius filed for bankruptcy in July 2022 after revealing a $1.2 billion shortfall in its balance sheet. The company exited bankruptcy protection in November 2023 under BRIC’s management. BRIC was tasked with recovering illiquid assets and resolving pending lawsuits on behalf of creditors. Following its restructuring, Celsius filed a case in the U.S. Bankruptcy Court for the Southern District of New York in August 2024. The company accused Tether of liquidating 39,542 bitcoins before a mandatory 10-hour waiting period expired. The firm claimed the early liquidation deprived it of billions of dollars in potential recovery value. Subsequently, Judge Martin Glenn allowed Celsius to proceed with most of its claims in July 2025. The decision led to settlement talks that produced the $299.5 million agreement. The payout represents roughly 7% of the damages Celsius had originally sought. The post Celsius Wins $300M From Tether in Bankruptcy Ruling, Far Below $4.3B Claim appeared first on CoinTab News.

Author: Coinstats
Shiba Inu May Remain Under Pressure After Flash Crash as XRP Death Cross Suggests Broader Altcoin Weakness

Shiba Inu May Remain Under Pressure After Flash Crash as XRP Death Cross Suggests Broader Altcoin Weakness

The post Shiba Inu May Remain Under Pressure After Flash Crash as XRP Death Cross Suggests Broader Altcoin Weakness appeared on BitcoinEthereumNews.com. COINOTAG recommends • Exchange signup 💹 Trade with pro tools Fast execution, robust charts, clean risk controls. 👉 Open account → COINOTAG recommends • Exchange signup 🚀 Smooth orders, clear control Advanced order types and market depth in one view. 👉 Create account → COINOTAG recommends • Exchange signup 📈 Clarity in volatile markets Plan entries & exits, manage positions with discipline. 👉 Sign up → COINOTAG recommends • Exchange signup ⚡ Speed, depth, reliability Execute confidently when timing matters. 👉 Open account → COINOTAG recommends • Exchange signup 🧭 A focused workflow for traders Alerts, watchlists, and a repeatable process. 👉 Get started → COINOTAG recommends • Exchange signup ✅ Data‑driven decisions Focus on process—not noise. 👉 Sign up → Shiba Inu declined sharply during last week’s market flash crash, falling to $0.0000085 before a partial recovery. The sell-off was driven by broad crypto liquidations, thinning altcoin liquidity and a breach of the key $0.000010 support, leaving SHIB vulnerable until market depth improves. Shiba Inu plunged to $0.0000085 and broke key $0.000010 support. XRP registered a bearish death cross versus Bitcoin, trading near 0.00002247 BTC. DOGE rallied ~13% after a short squeeze erased roughly $436 million in open short positions. Shiba Inu decline saw SHIB drop to $0.0000085 after mass liquidations; read the latest market update and recovery outlook from COINOTAG. Publication date: 2025-10-14 | Updated: 2025-10-14 | Author: COINOTAG COINOTAG recommends • Professional traders group 💎 Join a professional trading community Work with senior traders, research‑backed setups, and risk‑first frameworks. 👉 Join the group → COINOTAG recommends • Professional traders group 📊 Transparent performance, real process Spot strategies with documented months of triple‑digit runs during strong trends; futures plans use defined R:R and sizing. 👉 Get access → COINOTAG recommends • Professional traders group 🧭 Research → Plan…

Author: BitcoinEthereumNews