Crypto Liquidation Event Erases $1.23B, Impacts 6,300 Hyperliquid Wallets
During a recent crypto market downturn, over 1,000 wallets on Hyperliquid were liquidated, resulting in more than $1.23 billion in trader losses. A total of 6,300 wallets are now negative, with significant losses for many:
- 205 wallets lost over $1 million each
- More than 1,000 accounts lost at least $100,000
The sell-off was triggered by U.S. President Trump's announcement of a 100% tariff on Chinese imports, unsettling investors across various asset classes and causing cryptocurrency prices to plummet. Bitcoin briefly fell below $110,000, and Ether dropped under $3,700. The CoinDesk 20 index saw a 15% decline.
The event led to over $19 billion in liquidations within 24 hours, marking the largest single-day liquidation in crypto history. CoinGlass notes that the actual total might be higher due to slower reporting from Binance.
Top traders on Hyperliquid gained $1.69 billion, while top losers faced $743.5 million in losses, resulting in a net profit of $951 million among highly leveraged short sellers. The biggest winner profited over $700 million from short positions, whereas the largest loser incurred a $62.5 million loss.
Notable figures affected include Jeffrey Huang, known as Machi Big Brother, who lost nearly his entire wallet value of $14 million. Additionally, the U.S. government shutdown has delayed economic data releases, increasing market uncertainty during rising geopolitical risks.