BitMEX Exchange Reports Bitcoin Plunge to $93K Triggers Market-Wide Liquidation Crisis
Bitcoin tumbled to $93,000 during early Asian trading hours, wiping out all 2025 gains and sparking the most significant liquidation event since the FTX collapse. More than 150,000 traders faced $510 million in liquidated positions as long leverage unwound aggressively.
The drop below $94,000 breached critical technical support levels, sending the Crypto Fear & Greed Index into 'extreme fear' territory—a level not observed since 2024. BitMEX analyst Tom Lee described the selloff as a liquidity crunch among market makers rather than a fundamental breakdown, noting Bitcoin had already corrected 24% from its October peak of $125,000.
Market conditions remain fragile as automated liquidations fuel additional selling pressure. Analysts are monitoring whether institutional buyers will intervene at current levels or if the downward spiral will continue toward the $85,000 Fibonacci support zone.
