The cryptocurrency market experienced a notable pullback over the weekend, specifically on Sunday (January 25, 2026), with reports of over $130 million in liquidations occurring during the drawdown. This event was driven by a sharp price correction amid low weekend liquidity, which amplified volatility and triggered cascading liquidations of leveraged long positions.
In one notable spike, approximately $130 million worth of crypto long positions were liquidated in just 60 minutes or around the past hour in some snapshots, primarily affecting overleveraged traders. Over the broader 24-hour period surrounding Sunday, total liquidations reached around $130 million, with Bitcoin (BTC) contributing a significant portion e.g., roughly $30-75 million in some breakdowns, though figures varied by source and timeframe.
The drawdown saw Bitcoin dip below $88,000 hitting as low as around $86,000-$87,000 in some exchanges, extending pressure into Monday. Ethereum (ETH) and other altcoins like Solana (SOL) also saw notable declines and liquidations.
This kind of weekend flush is common in crypto due to thinner trading volumes, making it easier for wicks or sudden moves to hunt stops and force margin calls. Many analysts pointed to it as a leverage reset rather than a fundamental shift, with warnings about the risks of high leverage—especially heading into low-liquidity periods.
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Bitcoin futures and spot prices have been volatile, with recent ranges showing pressure below $90,000 and key support levels being tested around $84,000-$87,000. Broader market sentiment shifted toward caution, with some ETF outflows and macro factors like trade tensions or institutional de-risking cited as contributors.
The recent Sunday pullback hit altcoins particularly hard, often amplifying Bitcoin’s downside due to higher beta (greater volatility relative to BTC), thinner liquidity on weekends, and cascading liquidations in leveraged positions. While Bitcoin dipped below $88,000 and as low as ~$87,000-$87,500 in spots, many altcoins saw steeper percentage drops.
For example: Ethereum (ETH) fell to around $2,890 down ~4-6% in recent snapshots, with some reports noting worse performance among majors. Solana (SOL) dropped notably, with one instance around $122 down ~3.4% in 24h periods, and earlier volatility saw it rebound from lows like $128.5 after heavier pressure.
Other alts like BNB ($871), XRP ($1.88, down ~4%), and various mid-caps/memes experienced 3-10%+ declines, with some like AXS, KAIA, XMR leading losses over 10%. The $130M+ liquidation spike in the initial drawdown and broader 24h figures reaching hundreds of millions, e.g., $678M-$744M in some reports disproportionately affected longs on altcoins.
High-beta plays like SOL saw significant wipes e.g., tens of millions in isolated cases, as overleveraged traders got flushed. ETH often ranked high in liquidation volumes alongside BTC. BTC dominance ticked up during the pullback, signaling capital rotating back to “safer” Bitcoin amid risk-off mood.
Altcoin Season Index hovered low around 17-41/100 in recent checks, confirming we’re in “Bitcoin season” rather than alt outperformance. Fear and Greed is at extreme fear levels ~19/100 added pressure, with macro factors (Fed week ahead, trade/geopolitical tensions, ETF outflows) overriding bull narratives.
This wasn’t isolated—altcoins have faced “junk coin” purges and bearish stretches in early 2026 cycles, with median tokens down sharply in prior periods. Weekend wicks hunted stops more aggressively on alts due to lower volume.
These illustrate typical liquidation heatmaps, price charts during drawdowns, and altcoin performance grids from recent market events—red zones highlight heavy long squeezes. Overall, it’s a classic leverage reset: healthy for shaking out weak hands, but brutal for overleveraged alt plays.
Spot holders in strong fundamentals like privacy coins holding firmer, or infra like certain L1s weathered it better. Many see this as capitulation-style action setting up potential bounces, especially if macro stabilizes post-Fed.
Your portfolio leaning more BTC-heavy right now, or riding any specific alts through this? If you’re trading or holding leveraged positions, this serves as a reminder: weekends can be brutal for leverage.