In the five minutes after last night’s CPI release, $200 million in leveraged positions were liquidated. $360 million in one hour, and $1.2 billion in 24 hours.
These aren’t just numbers. They’re individual long traders thinking, “I feel like it’s fallen enough.”
To put it bluntly, every time I see liquidation figures, I’m not surprised at all. In a market where BTC has fallen from 126080 to 73000—a 40% drawdown—the most dangerous thing has never been getting the direction wrong. It’s leverage, which leaves you with no chance to be wrong even once.
Think carefully about the math: if the price falls from 84000 to 73000, you’re down 13% on spot. It hurts, but you’re still in the game, and you still have your coins. What about 20x leverage? A 5% move and you’re wiped out. That’s it. There is no “what happens next.”
Liquidation isn’t the market targeting you. At its core, it’s you putting your life in someone else’s hands—when CPI is announced, when Waller speaks, when institutions rebalance. You have no control over any of that. The only thing you can control is your position size.
Let’s be real: the thrill of leverage always has to be paid back—with your principal, plus interest.
The market never lacks stars; what it lacks is survivors. 👊