Bitcoin fell more than 10% at its lowest point, slipping to $101,500 before rebounding to trade near $112,500 as of press time.
While Solana continues to trade below its key $200 threshold, DOGE experienced a rapid recovery and was trading above the $0.18 support level as of press time.
The wave of forced selling deepened volatility, with liquidity evaporating across major trading pairs. As of press time, more than $7 billion had been liquidated across long and short positions amid the whiplash price action.
The crash highlighted the structural fragility of the crypto market, where high leverage and concentrated liquidity amplify sudden price shocks. Bitcoin’s order books thinned rapidly, sending prices spiraling before buyers stepped in to absorb the move.
Despite the rebound, traders remain cautious. Bitcoin faces key support near $110,000, while Ethereum must hold the $3,800 to $4,000 range to prevent further downside pressure.
Market participants are also watching open interest levels and whale activity for signs of renewed stability or additional stress. The event was a sharp but potentially healthy reset, flushing out excess leverage after months of speculative buildup.
However, the flash crash served as a reminder of how quickly sentiment can reverse in the digital asset market, where algorithmic trading and leverage can turn routine corrections into rapid, systemwide sell-offs.
