Bitcoin Trader Lost $15 Million in Minutes After the Wall Street Crash

Abstract:One trader lost $15.6 million in eight liquidations as a US stock crash fueled a $1.09 billion crypto wipeout.

A single trader lost 201 BTC, worth about $15.6 million, in eight successive liquidations. The wipeout came as a sharp Wall Street selloff rattled crypto markets.

The episode shows how quickly high leverage can erase large positions during sudden market swings.

A gambler just suffered a series of liquidations—getting liquidated 8 times for a total of 201 $BTC ($15.6M).https://t.co/BHgijHjrOo pic.twitter.com/f7eIaBpAih

— Lookonchain (@lookonchain) November 5, 2026

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How One Trader Lost 201 BTC in Eight Liquidations

A liquidation occurs when an exchange forcibly closes a leveraged position because the traders margin can no longer cover losses. It often happens during sharp price moves.

According to Lookonchain, the trader suffered eight forced closures amid heavy panic selling. As a result, the trader lost almost the entire account: $15.6 million.

The case highlights the risks of high leverage on platforms such as Hyperliquid. There, a sudden price move can trigger a cascade of automatic margin calls.

Meanwhile, the broader damage was massive. According to CoinGlass data, 209,826 traders faced liquidation in 24 hours, totaling $1.08 billion.

Crypto Liquidation Heatmap – 24 Hours. Source: Coinglass

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Long positions accounted for $956 million, or 88% of the total. By contrast, shorts contributed only $130.78 million. Bitcoin led with $282.37 million, followed by Ethereum at $173.75 million.

Notably, 89.4% of the Bitcoin liquidations came from long positions.

Binance also captured the largest share of overall liquidations, at 44.3%.

Is Wall Street Now Dragging Crypto Lower?

The stress started on Wall Street. On November 5, the Nasdaq Composite plunged nearly 5% intraday, marking its worst session in months.

AI and chip stocks led the decline amid post-midterm uncertainty and growing doubts about the AI boom. Meanwhile, the S&P 500 fell roughly 3.8%.

$3,000,000,000,000 has been erased from the US stock market today.

More than the GDP of Russia. pic.twitter.com/RdLbmDoT81

— Ted (@TedPillows) November 5, 2026

That rout quickly spread to crypto markets.

Bitcoin had briefly climbed above $80,000 after the election results. However, it then reversed sharply and dropped to a low of $75,572.

Similarly, Ethereum hit a low of $2,239, while Solana lost 5.9%. The largest single liquidation was a $10.94 million ETH long on Binance.

“My thesis on #Bitcoin hasn‘t changed… The past 24 hours have been heavily influenced by leverage trading… Now, $75,000 remains the best, obvious spot for longs, and it coincides with Nasdaq’s low, which has been targeted at 26,500…,” Michaël van de Poppe said on X.

Bitcoin (BTC) Price Analysis. Source: X/@CryptoMichNL

Sentiment has cooled, but it has not collapsed. The Crypto Fear & Greed Index stands at a neutral 50. That compares with 73, or greed, last month. Just a day earlier, the index had dropped to 34, signaling fear.

For now, concentrated long exposure leaves the market vulnerable to further equity market shocks. Therefore, traders will likely watch Wall Street closely in the coming sessions.

Disclaimer

The views in this article only represent the author's personal views, and do not constitute investment advice on this platform. This platform does not guarantee the accuracy, completeness and timeliness of the information in the article, and will not be liable for any loss caused by the use of or reliance on the information in the article.
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