Bloodbath in Bitcoin: $370 Million Liquidations as Firms Defend $60K Support

• Why Did Bitcoin See $370 Million in Liquidations?
• Who’s Defending the $60K Bitcoin Price Floor?
• Historical Parallels: How Does This Compare to Past Crashes?
• What’s Next for Bitcoin’s Price Action?
• FAQ: Your Bitcoin Liquidation Questions Answered

Bitcoin’s price volatility has triggered a staggering $370 million in liquidations, yet major players are fiercely defending the $60,000 support level. This article dives into the market dynamics, historical context, and expert insights—including analysis from the BTCC team—to unpack what’s driving this turbulence and whether the $60K floor will hold.

Why Did Bitcoin See $370 Million in Liquidations?

The crypto market experienced a brutal shakeout this week, with leveraged positions worth $370 million getting wiped out. Data from CoinGlass reveals that long traders bore the brunt, accounting for nearly 70% of the losses. The sell-off accelerated after Bitcoin failed to hold above $62,000, a psychological resistance level. "This is classic market behavior—over-leveraged bulls getting squeezed when key support breaks," noted a BTCC analyst. TradingView charts show the liquidation cascade began during Asian trading hours, exacerbating the downward momentum.

Who’s Defending the $60K Bitcoin Price Floor?

Despite the bloodbath, institutional buy orders clustered around $60,000 have acted as a firewall. MicroStrategy reportedly added another 1,200 BTC to its treasury during the dip, while whispers from Coinbase institutional desks suggest hedge funds are accumulating at these levels. "The $60K zone represents the 200-day moving average—a make-or-break level for market sentiment," explains the BTCC team. On-chain data from Glassnode shows whales have absorbed over 40,000 BTC NEAR this price point since February 20, 2026.

Historical Parallels: How Does This Compare to Past Crashes?

The current 18% pullback from Bitcoin’s 2026 high of $73,500 mirrors similar mid-cycle corrections in 2021 and 2023. Back then, drops of 20-30% were common before resuming uptrends. What’s different now? The derivatives market is twice as large, magnifying liquidation impacts. The February 25, 2026, flash crash saw perpetual futures funding rates hit -0.15%—the most extreme negative reading since the FTX collapse. "These washouts actually create healthier markets long-term," argues veteran trader Tone Vays in a recent YouTube analysis.

What’s Next for Bitcoin’s Price Action?

All eyes are on the weekly close. A hold above $60,000 could trigger short covering, while a breakdown might test $56,000 (the 0.618 Fibonacci retracement level). The BTCC exchange’s order book shows stacked bids at $59,800-$60,200, suggesting strong institutional interest. Interestingly, Bitcoin’s volatility index (BVOL) has spiked to 95—levels that typically precede major directional moves. "I’m seeing similarities to June 2023’s consolidation before the Q4 rally," shares pseudonymous analyst PlanB, creator of the Stock-to-Flow model.

FAQ: Your Bitcoin Liquidation Questions Answered

How long do liquidation events typically last?

Most liquidation cascades resolve within 24-48 hours as markets stabilize. The February 2026 event saw 90% of liquidations occur within a 6-hour window.

Which exchanges had the most liquidations?

Binance led with $140 million, followed by OKX ($89M) and BTCC ($63M), per CoinGlass data.

Does this mean Bitcoin’s bull run is over?

Not necessarily. Previous cycles saw multiple 20%+ corrections during sustained uptrends. Macro factors like ETF inflows remain bullish.