coindesk.com 
Bitcoin fell below the $90,000 level on Tuesday as a sharp shift in global risk sentiment triggered a wave of forced selling across crypto markets, wiping out more than $1 billion in leveraged bullish bets.
Data from CoinGlass showed that 183,066 traders were liquidated over the past 24 hours, with total liquidations reaching $1.09 billion.
Long positions accounted for nearly 92% of the total, highlighting how heavily traders had been positioned for further upside. The largest single liquidation was a $13.52 million BTCUSDT order on Bitget.
Liquidation refers to when an exchange forcefully closes a trader’s leveraged position due to a partial or total loss of the trader’s initial margin. It happens when a trader is unable to meet the margin requirements for a leveraged position (fails to have sufficient funds to keep the trade open).
A cascade of liquidations often indicates market extremes, where a price reversal could be imminent as market sentiment overshoots in one direction.
Bitcoin slid as much as 3% during the move, falling to as low as $87,800 in late U.S. hours before climbing above $89,000 as of Asia morning hours.
The pullback marked a reversal from last week’s consolidation near recent highs.
The selloff came as broader financial markets turned cautious.
President Donald Trump’s renewed threat to impose tariffs on European nations that rejected his proposal tied to Greenland unsettled investors, reviving concerns about trade tensions and policy unpredictability.
At the same time, a selloff in Japanese government bonds added pressure, pushing global yields higher and tightening financial conditions.
Those crosscurrents have weighed on risk assets more broadly, particularly after an extended rally fueled by enthusiasm around artificial intelligence drove global equity markets to record levels.
With positioning stretched and volatility compressed, crypto markets proved vulnerable once sentiment cracked.
