{"id":70267,"date":"2026-02-01T15:17:03","date_gmt":"2026-02-01T15:17:03","guid":{"rendered":"https:\/\/dogewisperer.com\/?p=70267"},"modified":"2026-02-01T15:17:03","modified_gmt":"2026-02-01T15:17:03","slug":"2-5-billion-saturday-wiped-out-analysts-explain-why-bitcoin-and-altcoins-crashed","status":"publish","type":"post","link":"https:\/\/dogewisperer.com\/?p=70267","title":{"rendered":"$2.5 Billion Saturday Wiped Out: Analysts Explain Why Bitcoin and Altcoins Crashed"},"content":{"rendered":"
\n

Although most weekends are typically sluggish, with little to no price actions from the larger caps, there are some exceptions. However, even those are prompted by events that transpire during those non-trading days for the legacy markets, such as Maduro\u2019s capture or some of Trump\u2019s latest tariff threats.<\/p>\n

The price shock from yesterday, though, didn\u2019t have such an apparent catalyst to be blamed on. Just the opposite, BTC had already dropped<\/a> on Thursday after the US Federal Reserve left the interest rates unchanged, and Trump had sent some of the country\u2019s Navy closer to Iran. Moreover, bitcoin and the altcoins even recovered some ground on Friday when the precious metal market crumbled<\/a>.<\/p>\n

So, What\u2019s The Reason?<\/h2>\n

The analysts from the Kobeissi Letter also dismissed the arguments that the Saturday meltdown had anything to do with the situation in Iran or the Fed\u2019s latest actions<\/a>. Instead, they said, \u201cIt\u2019s entirely a liquidity situation.\u201d\u00a0Their chart shows three well-defined liquidation waves, totaling around $1.3 billion in the span of just 12 hours.<\/p>\n

\n

\u201cIn a market where liquidity has been choppy at best, sustained levels of extreme leverage are resulting in \u201cair pockets\u201d in price.<\/p>\n

Couple this with herd-like sentiment, constantly shifting from extreme bullishness to extreme bearishness, and the swings become even more aggressive,\u201d they explained<\/a>.<\/p>\n<\/blockquote>\n

Additionally, the analysts added that this might be a \u201cgreat time to capitalize [on] polarity in emotion and price.\u201d<\/p>\n

10th Largest Liquidation Event<\/h2>\n

The aforementioned $1.3 billion liquidated in just 12 hours was only a portion of the entire amount that was wiped out from over-leveraged investors. CoinGlass data showed at one point that the total value of wrecked positions had skyrocketed to over $2.5 billion.<\/p>\n

According to further data from the Kobeissi Letter, this places yesterday\u2019s crash at the 10th spot in terms of daily liquidations.<\/p>\n

\n

BREAKING: $2.5 billion worth of levered longs have been liquidated in crypto over the last 24 hours.<\/p>\n

This makes today the 10th largest liquidation event in crypto history.<\/p>\n

\u2014 The Kobeissi Letter (@KobeissiLetter) January 31, 2026<\/a><\/p>\n<\/blockquote>\n