Crypto Market Faces $190M Liquidation—But Signs Hint at Upcoming Rally

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The crypto market just went through another heavy blow, with over $190 million lost in liquidations in the past 24 hours. Bitcoin fell hard yesterday, due to the ongoing geopolitical tensions triggered in the Middle East. 

Some altcoins are showing signs of life, short sellers are being wiped out, and analysts believe a bounce could be coming. 

So, is this the start of a comeback?

Bitcoin Crashes Amid Global Tension

On one of the worst days this June, Bitcoin dropped nearly 4%, crashing to around $102,664. This drop was mainly due to rising tensions in the Middle East, which triggered panic across markets. As a result, the crypto space saw over $1 billion in leveraged positions wiped out in just one day.

But within 24 hours, things began to change. While the market is still shaky, many coins have started to rise again.

Short Traders Take the Bigger Hit

Today, another $190.25 million in leveraged trades were liquidated. But this time, short positions took the bigger hit, losing $107 million, while long positions saw losses of $83.1 million.

In the meantime, when short trades were liquidated, traders rushed to buy back their positions, which pushed prices higher. That’s exactly what happened today. In the last 24 hours, over 58,000 traders were liquidated, with the total losses hitting $191.32 million.

The largest single liquidation was worth $6.26 million on Binance, involving Bitcoin.

Altcoins and Memecoins Start to Move

While Bitcoin is still settling, some altcoins and meme tokens are quietly climbing. Shiba Inu gained 4%, Hyperliquid (HYPE) jumped 4.5%, Litecoin (LTC) rose 3%, Pi Network (Pi) increased 4.2%, and PEPE saw a 3.6% bump.

On the other hand, some analysts believe this correction might be a setup for the next big rally. An expert pointed to a similar situation in April 2024, when Bitcoin jumped 15% just 11 days after a conflict between Israel and Iran. Two months later, it had surged 48%.