Crypto Chaos: $300 Million Shorts Obliterated in 4 Hours, Who’s Crying Now?

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Ah, what a magnificent Friday evening it was! The cryptocurrency market decided to throw a little tantrum, as if it hadn’t had enough of calm. In just four hours-yes, you heard that right-approximately $400,000,000 worth of short positions were wiped off the face of the Earth, thanks to Federal Reserve Chairman Jerome Powell’s seemingly innocent hint at rate cuts during his speech at Jackson Hole. Who knew a few words could lead to such devastation? 💸

The poor souls holding those short positions, bless their hearts, accounted for over $304 million of the carnage. CoinGlass, with its unblinking gaze, provided the damning details. And boy, did they love that number.

Ether (ETH) took the hardest hit, with a mind-boggling $217.16 million evaporating as its price rocketed from $4,200 to $4,650-an easy 10% gain that left shorts screaming in disbelief. But wait, there’s more! Bitcoin (BTC) also got a piece of the action, with $80.04 million going up in smoke, while Solana (SOL) and Dogecoin (DOGE) weren’t exactly spared either. A cool $21.77 million and $9.06 million respectively, just for fun. 🎢

Where did all this destruction occur, you ask? Well, Bybit was the grand champion, raking in $143.51 million in total liquidations, followed by Binance, which casually added $87.32 million to the pile. Oh, and let’s not forget the star of the show: a $10 million ETH-USDT-SWAP liquidation on the OKX exchange. A true masterpiece, if I do say so myself.

But wait! BTC, ever the resilient beast, bounced off the $111,800 support like a cat leaping from a couch, rising 4% to a cool $116,183. That was a critical support level set back in May, and look at it now-showing signs of a bullish reversal after a week of downward spirals. Truly poetic. 📈

Powell, the man who had everyone biting their nails in fear of hawkish tones, managed to surprise everyone by stating that “the downside risks to employment are rising.” Shocking, right? He even went on to imply that rate cuts might be on the way next month. If that happens, we all know who’s winning: risk assets like Bitcoin and Ether. Well, isn’t that nice?

Despite the initial market chaos, BTC couldn’t quite decide what to do and pulled back from $115,700 to $114,800. But don’t worry, open interest is now at its highest in four days, showing that this rollercoaster isn’t over yet. Hold onto your hats, folks, because the leverage-backed bounces are just getting started. 🎢💥

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2025-08-22 20:00