One year ago, a market crash triggered by a 100% tariff announcement on Chinese imports led to the largest derivatives liquidation in crypto history. Within 24 hours, forced liquidations exceeded $19 billion, affecting more than 1.6 million accounts. Long positions accounted for approximately $16–17 billion of the total volume.
On October 6, 2026, Bitcoin reached a peak of nearly $126,200. During the subsequent crash, the price dropped between 14% and 17% intraday, reaching lows of $102,000 to $107,000. Open interest in derivatives fell by over 30%, and hundreds of billions in market capitalization were erased.
Binance provided $300 million in compensation to users impacted by automated liquidations. Meanwhile, Metaplanet reported a 39% decline in Q3 profits, reflecting the broader impact on companies holding Bitcoin. Realized trader losses are estimated between $950 million and $2.85 billion.
As of early October 2026, Bitcoin trades between $83,000 and $83,500, which is roughly 34% below its previous high. Despite the event, leverage monitoring indicates only a modest reduction in market risk appetite, with structural concerns regarding thin liquidity and cross-margin mechanics persisting.
