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The latest cryptocurrency market sell-off has resulted in significantly higher liquidations than initially reported, with Bybit CEO Ben Zhou estimating the total wipeout to be between $8 billion and $10 billion. This starkly contrasts with the widely cited $2 billion liquidation, which Zhou suggests is a conservative estimate due to API limitations across multiple exchanges . Real liquidations could be four-fold than reported The downturn, spurred by U.S. President Donald Trump’s latest tariff announcement , triggered widespread fears of a prolonged global trade war, sending financial markets into turmoil and prompting investors to offload risk assets, including cryptocurrencies. Early reports from CoinGlass showed that total liquidations across all assets stood at roughly $2.4 billion, with Ethereum ( ETH ) taking the hardest hit , leading the liquidation spree with $617.35 million, followed by Bitcoin ( BTC ) at $441.8 million. However, Zhou highlights that these figures significantly underrepresent real liquidation volumes due to exchange-level API restrictions. He estimates that actual liquidations across the crypto market stand ‘at least around $8 to 10 billion,’ far exceeding initial reports. According to Zhou, Bybit alone recorded $2.1 billion in 24-hour liquidations, yet CoinGlass only reported $333 million due to technical limitations on how much data feeds are pushed out per second. I am afraid that today real total liquidation is a lot more than $2B, by my estimation it should be at least around $8-10b. FYI, Bybit 24hr liquidation alone was $2.1B, As you can see in below screenshot, Bybit 24hr liquidations recorded on Coinglass was around $333m, however,… https://t.co/4WLkPxTYF4 pic.twitter.com/woTOHQvNkt — Ben Zhou (@benbybit) February 3, 2025 This discrepancy, according to him, exists across all major crypto exchanges, meaning the reported $2 billion liquidation is likely just a fraction of the actual liquidation data. The Bigger picture: How severe is the crypto sell-off? While reported figures suggest a $2 billion liquidation, Zhou’s comments imply that the real market damage may be four times larger. According to crypto analyst CrypNuevo , if Zhou’s estimate of $8 billion to $10 billion in liquidations holds, the recent wipeout would surpass the combined liquidations from the COVID-19 market crash, the Terra ( LUNA ) collapse, and the FTX implosion. “To see this with perspective… that would literally be more than COVID, Luna and FTX liquidations combined together, in just 24 hours.” – CrypNuevo With liquidity concerns rising and volatility spiking, traders remain on edge, questioning whether the market can stabilize or if another wave of liquidations is on the horizon. Featured image via Shutterstock The post Crypto liquidations are ‘lot more’ than reported; Bybit CEO estimates up to $10B wipeout appeared first on Finbold .
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MicroStrategy Halts Bitcoin Purchases After $20 Billion Investment, Raising Questions About Future Plans
In a significant shift, MicroStrategy has paused its aggressive Bitcoin purchasing spree after a remarkable $20 billion acquisition in just 12 weeks. This decision comes as the company, once primarily Finbold
El Salvador Reverses Bitcoin Legal Tender Status Under Pressure From IMF: Report
El Salvador has reportedly removed the legal tender status of Bitcoin ( BTC ) after less than four years because of pressure from the International Monetary Fund (IMF). According to a new report from BBC, the reform to El Salvador’s Bitcoin Law that the country’s lawmakers approved last week modified six and removed three of the provisions from the 2021 legislation that made it the first country in the world to adopt a cryptocurrency as legal tender. The report says the amendments make the acceptance of Bitcoin voluntary and abandon the official currency status of the asset. E conomist Julia Evelin Martínez tells BBC the implications of removing the term “currency” and leaving “legal tender” in the first article of the law, which reportedly caused confusion. “The key is that the concept of currency disappears. For example: the euro is legal tender in the country because people can use it optionally if both parties agree, but it is not legal tender because no one is obliged to accept payments in euros.” The legislative assembly passed the reforms while the government aims to secure a $1.4 billion funding deal from the International Monetary Fund (IMF) that is conditional on El Salvador reducing its Bitcoin-related risks. Last year, IMF spokesperson Julie Kozack said that the global lender urged El Salvador to reconsider its policies on Bitcoin as part of a discussion to support the country’s economic reforms. “What we have recommended is a narrowing of the scope of the Bitcoin Law, strengthening the regulatory framework and oversight of the Bitcoin ecosystem, and limiting the public sector exposure to Bitcoin.” Don`t Miss a Beat – Subscribe to get email alerts delivered directly to your inbox Check Price Action Follow us on X , Facebook and Telegram Surf The Daily Hodl Mix Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing. Generated Image: Midjourney The post El Salvador Reverses Bitcoin Legal Tender Status Under Pressure From IMF: Report appeared first on The Daily Hodl . Finbold
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