Crypto Whales Lose $143M as Bitcoin Dips Below $69K

A Massive Flush in the Crypto Derivatives Market

If you noticed a sudden wave of red across crypto charts recently, you are certainly not alone. A sharp downward move in price pushed Bitcoin below the $69,000 mark, sending shockwaves through the entire trading ecosystem.

When prices drop quickly, heavily leveraged traders often get hit hardest. In just 24 hours, over $1.64 billion in trading positions were wiped out as automated liquidation systems stepped in to close unsafe positions.

While market pullbacks affect traders of all sizes, four massive crypto traders—often called whales—took particularly heavy blows, each suffering liquidations exceeding $10 million in a single hit.

The Four Whales Who Lost $143.89 Million Combined

Blockchain analytics account Lookonchain tracked the movement of these giant positions on the blockchain as they were forcibly closed. Together, four specific wallet addresses lost an astonishing $143.89 million.

Here is how those massive individual losses broke down across the four addresses:

• Wallet 0x6046: This wallet took the heaviest hit, losing 12,742 ETH (worth roughly $25.2 million) and 536.89 BTCBTC-5.15% (valued at $38.77 million), bringing its total liquidation to over $63.9 million.
• Wallet 0x01e2: Previously dubbed a 'gambler' after being hit by six liquidations totaling $28.9 million (404.86 BTC) in 12 hours, this wallet was hit again. It lost another 511 BTC worth $36.4 million when Bitcoin dropped below its former November 2021 peak.
• Third Wallet: The third wallet lost a position of 357.09 BTC, which was valued at just over $25 million.
• Wallet 0x4a20: Although this wallet suffered the smallest individual damage among the group, it still got crushed across multiple tokens, losing $9 million in SolanaSOL-2.65%, $5.85 million in Bitcoin (BTC), and $3.52 million in EthereumETH-4.11%.

More Big Traders and Panic Sellers Hit the Sidelines

The leverage wipeout did not end with those four big wallets. Other heavy-hitting accounts faced intense pressure as prices continued to slide lower.

For instance, another prominent whale account held two massive bullish long positions totaling over $140 million. These included 1,236 BTC worth over $102 million and 15,928 ETH worth $38.67 million. Over a two-day span, these positions were completely wiped out, resulting in net realized losses of more than $17 million.

Even illicit actors were caught in the chaos. Lookonchain flagged an address connected to a known hacker that appeared to panic as prices fell. The address hastily sold 1,500 ETH (which had been routed through Tornado Cash) at a price of $1,988 per token out of fear that Ethereum would crash further.

At the time of reporting, Ethereum was trading just slightly above $1,900, down roughly 5% in 24 hours and nearly 13% over a 7-day period.

Breaking Down the $1.64 Billion Market Wipeout

Data from tracker CoinGlass shows that total liquidations reached $1.64 billion across the overall crypto market within a 24-hour window, while overall crypto market capitalization fell by nearly 4%, according to CoinGecko.

Because most traders were betting on prices to keep rising, long positions made up 88% of all liquidations, accounting for $1.46 billion. Short sellers who were betting on price drops lost nearly $183 million.

Here is a quick look at how liquidations were split between major assets and trading channels:

• Bitcoin (BTC): Accounted for $905 million in liquidations, with 96% coming from long positions.
• Ethereum (ETH): Recorded $285 million in liquidations, with 90% coming from long positions.
• Spot Sell Pressure: Traders conducted roughly $671 million in net spot taker selling for Bitcoin.
• Institutional ETF Flows: US spot Bitcoin ETFs experienced net outflows of $47 million on November 12.

Understanding Leverage and Market Risk

Events like this serve as a clear reminder of how high-leverage trading works. Leverage allows traders to borrow funds to amplify their position sizes. While leverage can increase potential returns when markets move favorably, it equally amplifies potential downside risks.

When prices move against a leveraged trade past a liquidation threshold, exchanges automatically sell the position to prevent debt. This forced selling can drive prices down rapidly, triggering cascading liquidations across the market.

Traders should always manage risk carefully and stay informed about market volatility. Past performance of digital assets or historical market trends is not an indicator of future results.