Market flash crash triggers chain liquidation, a leveraged trader's single trade loses $25.83 million

LiquidityWitch · 2026-01-19T02:48:10+00:00

On January 19th, the market experienced a flash crash, with multiple trading platforms facing massive liquidations. A total of 38 single-coin losses exceeded $1 million, including a BTC long position loss of up to $25,833,800. This incident serves as a reminder to traders that leverage risks should be approached with caution, as stop-losses may become ineffective during extreme market conditions.

LiquidityWitch

2026-01-19 02:48:10

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【Blockchain Rhythm】On January 19th, during a market flash crash, multiple trading platforms experienced large-scale liquidations. According to on-chain data monitoring, a total of 38 liquidation positions with losses exceeding $1 million each were recorded on that day, involving mainstream cryptocurrencies such as BTC, ETH, and various altcoins. The most severe case involved a trader’s BTC long leveraged position, with a single loss of up to $25.83 million. This flash crash not only impacted contract traders’ accounts but also once again reminded investors — in the highly volatile crypto market environment, leverage risks can be triggered instantly. Experienced traders usually set stop-loss orders to avoid such extreme market conditions, but during rapid market declines, stop-losses often cannot keep up with the downward speed, leading to increased slippage and further losses. Such large liquidation events are not uncommon during intense market volatility and serve as a warning to all traders using leverage.

BTC0.73%

ETH1.36%

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FromMinerToFarmer

· 01-21 21:46

25 million dollars lost, this is the power of leverage, brother...

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WhaleInTraining

· 01-19 03:12

25.83 million disappeared in an instant—that's the power of leverage...

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DegenApeSurfer

· 01-19 03:01

$25.83 million disappeared in an instant, this is the charm of leverage --- Setting stop-losses is useless; everyone is equal in front of slippage --- 38 margin calls? I bet this guy has already switched careers --- Playing with leverage in this market is just pure giving away, no reason needed --- This is the fastest way to get rich in the crypto world, haha --- It's that old saying again, leverage doesn't kill people, it accelerates death --- Seeing these numbers makes me grateful that I only trade spot, good sleep quality --- Can't keep up with stop-loss during rapid declines? That's a mindset issue --- Single loss of 25.83 million, I might as well be a joke-level loss

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gas_guzzler

· 01-19 02:57

$25.83 million disappeared overnight, how much resilience does that take? I'm truly impressed.

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ForeverBuyingDips

· 01-19 02:54

The fate of bottom-fishing is like this—one sudden dip and it's gone. $25.83 million... This guy probably won't turn things around in his lifetime.

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