Expert Analyst Says “The Drop Was Just a Warning” for Cryptocurrencies, Says Danger Lies Ahead

The $19 billion cryptocurrency liquidation last Friday was recorded as a rare event in market ￰0￱ figure is double the amount liquidated in the previous major market crash in April 2021, according to data platform ￰1￱ Kiely, CEO of Future Digital Capital Management, noted that mass liquidations of this scale are becoming increasingly likely: “This sell-off is a serious warning to ￰2￱ leverage is an extremely dangerous play in an environment where liquidity is so low and the market is so close to its cycle peak,” he ￰3￱ refers to the automatic closure of positions when the collateral in an investor's account falls below a certain ￰4￱ typically occurs when investors use leverage to trade with ￰5￱ the peak of the 2021 bull market, the total value of leveraged positions on Bitcoin was around $19 ￰6￱ just before the recent crash, that figure had reached $46 billion, according to Coinalyze ￰7￱ News: Developers of One of the Major Altcoins of 2021 Bull Announce They Have Repurchased a Significant Amount of Tokens While the Trump administration's tariff announcement triggered the sell-off, analysts are highlighting Binance's role in deepening the decline.

Binance, the largest crypto exchange, acknowledged platform disruptions caused by increased trading volume and announced that it would compensate users directly affected by the system ￰8￱ growth of on-chain perpetual futures (OPFs) has also been a key factor in this market ￰9￱ contracts, which have no expiration date and allow for leveraged trading, have surged in popularity with the rise of exchanges like Hyperliquid and ￰10￱ rising leverage, there have been fewer mass liquidations over the past year compared to the bull run of ￰11￱ of the 10 largest market crashes occurred in 2021, while the remaining two occurred this year. *This is not investment ￰12￱ Reading: Expert Analyst Says “The Drop Was Just a Warning” for Cryptocurrencies, Says Danger Lies Ahead