Bitcoin Under $80,000 as Liquidations Surge Across Markets
Crypto markets retreated on May 14 as traders locked in profits following last week’s rally, pushing total digital asset market capitalization down to roughly $2.66 trillion while triggering more than $400 million in leveraged liquidations across derivatives markets.
Summary:
- Crypto market cap fell to $2.66 trillion during broad selloff.
- More than $400 million in leveraged positions were liquidated in 24 hours.
- Bitcoin and Ethereum accounted for the largest liquidation clusters.
Bitcoin slipped below the $80,000 level to trade near $79,100 at the time of writing, while Ethereum fell toward $2,265. Broader altcoin weakness also weighed on sentiment, though some large-cap tokens continued outperforming on a relative basis.
Liquidations Accelerate Across Derivatives Markets
The decline triggered a sharp wave of liquidations across crypto futures markets, with CoinGlass data showing approximately $400.3 million wiped out over the past 24 hours.
Long positions accounted for the overwhelming majority of losses at roughly $339 million, compared with around $61 million in short liquidations, signaling that bullish traders were caught offside by the pullback.
The single largest liquidation reportedly occurred on Binance in the ETHUSDT trading pair, with one position losing approximately $11.75 million.
Over shorter time frames, liquidation pressure intensified rapidly. Four-hour liquidations climbed above $20 million, while twelve-hour losses exceeded $72 million as leverage unwound across major exchanges.
Bitcoin and Ethereum Lead Market Weakness
Bitcoin and Ethereum dominated both trading activity and liquidation flows during the decline.
Treemap liquidation data showed Bitcoin accounting for roughly $117.8 million in forced position closures, while Ethereum followed closely with approximately $105.8 million. Solana also saw elevated liquidation activity near $30 million as volatility spread through large-cap altcoins.
READ MORE: Solana’s Volume Boom Hits Pause as Ethereum Rebuilds Momentum
Market breadth weakened across the board. Bitcoin fell roughly 2.1% over the week, while Ethereum dropped more than 3.3%. Solana declined over 4% during the past 24 hours, while Hyperliquid slid more than 9% on a weekly basis following its recent ETF-driven rally.
The broader CoinMarketCap 20 Index also traded lower, reflecting widespread weakness across leading digital assets.
Fear and Greed Gauge Returns to Neutral
Investor sentiment cooled alongside the pullback. According to data from CoinMarketCap, the crypto Fear & Greed Index slipped to 46, returning to neutral territory after spending recent weeks in bullish positioning during the market rebound.
At the same time, the average crypto RSI dropped near 44, suggesting momentum conditions have reset significantly from earlier overbought levels.
Altcoin season indicators also weakened, with the Altcoin Season Index sitting near 44 out of 100, signaling that Bitcoin continues maintaining relative market leadership despite the broader correction.
Analysts say the decline appears driven more by leverage flushing and profit-taking than by a major deterioration in underlying market structure.
Macro Uncertainty Pressures Risk Assets
The selloff also coincided with rising macroeconomic uncertainty and renewed geopolitical tensions, which pressured broader risk appetite across global markets.
Traders pointed to ongoing volatility surrounding monetary policy expectations after reports that the U.S. Senate confirmed economist Kevin Warsh as the next Federal Reserve chair, reigniting debate around future interest-rate direction and liquidity conditions.
At the same time, crypto markets continue digesting strong gains recorded earlier this month following ETF inflows, corporate Bitcoin accumulation and growing institutional adoption of tokenized assets.
Despite the short-term weakness, stablecoin market capitalization remained near record highs, suggesting capital largely stayed within the broader digital asset ecosystem rather than fully exiting crypto markets.
For now, analysts view the pullback as a leverage reset after a rapid rally rather than the beginning of a broader structural reversal, though volatility is expected to remain elevated as traders reassess positioning across Bitcoin, Ethereum and high-beta altcoins.
The information presented in this article is intended for informational purposes only and should not be interpreted as financial, investment, or trading advice. Coinspress.com does not promote or advocate for any particular investment strategy, asset, or cryptocurrency project. Cryptocurrency markets are highly volatile and unpredictable – always perform your own research and seek guidance from a qualified financial professional before making any investment decisions.
Alexander Zdravkov
Reporter at CoinsPress
Alexander Zdravkov is a market analyst and crypto journalist with interests in economics, broader financial markets and digital assets. His journey into crypto began more than four years ago, driven by a fascination with the rapid evolution of blockchain technology and the transformative potential of decentralized finance. He began analyzing market cycles and identifying emerging trends before they reach the mainstream. He holds a degree in International Relations - a background that helped shape his broader perspective on global economics, geopolitics, and the interconnected nature of modern financial markets. Whether covering the latest developments in the crypto sector or exploring broader macroeconomic themes, Alexander focuses on giving readers context rather than simply repeating headlines. During his career, he has authored more than 10,000 articles covering cryptocurrencies, traditional finance, and global market developments. His work spans everything from Bitcoin and altcoins to macroeconomic trends influencing risk assets worldwide.
