$BTC $ETH

Over the past 24 hours, liquidations totaled $2.5 billion. Longs were slaughtered, and funds are urgently fleeing to safe-haven yield zones.
After BTC dropped below $63K, the crypto market saw the most aggressive leverage flush of this correction cycle. In the past 24 hours, global liquidations reached $63k, with long position liquidations accounting for $2.54B, or 94%.
ETH liquidations were $2.4B, and BTC liquidations were $774 million. The Fear and Greed Index (FGI) simultaneously fell to 17, entering the extreme fear zone.
Meanwhile, Bitcoin spot ETFs have seen net outflows for 6 consecutive weeks, with a cumulative monthly outflow of $6.4 billion, setting a historical record. Major cryptocurrencies are generally experiencing capital outflows, with BTC, ETH, SOL, and DOGE all showing significant net outflows.
You may be a bit puzzled: why is the liquidation amount so large when the market hasn't crashed sharply?
Indeed, the market still has consensus: the easing of US-Iran negotiations, the landing of rate hike expectations, and BTC rebounding to $64K after breaking below $60K. The false breakdown below $60K (the "no break, no make" idea) led many bulls to believe the market would rebound.
At the same time, over the past few days, large ETH purchases by whales, combined with spot buying on the ETH order book, boosted the market and once made ETH stronger than BTC. Ultimately, during the Monday pullback, ETH's liquidation amount did not disappoint, recording the largest liquidations.
The market is now in a downtrend, but there is a false impression of stopping the decline at the $60K level. It's quite confusing whether to short on the right side (trend-following) or go long on the left side (bottom-fishing).
In the small-level rebound trend starting from $59K, it has not yet fully invalidated. Small timeframes driving larger ones, I still think it's more reasonable to go long here. If it effectively breaks below $61,800, then continue to watch $60K.
Overall, the market is in a consolidation phase. Currently, it is believed to be a bear trap at the bottom. Wait patiently for confirmation before entering, and stay in cash amid fear.