Bitcoin volatility just hit another extreme: the asset rocketed $3,000 higher in just 60 minutes, breaking back above the $90,000 level. The catalyst? A cascade of short liquidations totaling $120 million in forced selling.

But the real shock came next. As longs rushed in, the momentum reversed hard. Another $200 million in leveraged long positions got wiped out, sending Bitcoin tumbling down to $86,000.

In the span of minutes, we're talking about a staggering $140 billion swing across the derivatives market. These kinds of violent price swings are exactly what happens when the leverage gets too crowded—one direction gets squeezed, and suddenly the entire market structure unwinds.