Analysts Liken Stress Levels to FTX Era as Crypto Liquidations Exceed $1.1 Billion

The cryptocurrency market faced $1.1 billion in liquidations over 24 hours on November 14, 2025, with $968 million from long positions.

More than 246,000 traders were forced out, triggering fresh comparisons with the darkest period of the 2022 FTX collapse.

Liquidation Wave Hits Major Crypto Exchanges

During the recent 24-hour period, $1.1 billion in positions were liquidated, with long positions suffering $973 million in losses compared to $131.37 million for shorts.

The largest single liquidation was a $44.29 million BTC-USDT position on HTX. In the four-hour window, Hyperliquid saw $134.16 million in long liquidations, with Bybit close behind at $122.57 million.

Crypto Liquidations in the Last 24 Hours. Source: Coinglass

Liquidations occur when exchanges close leveraged trades due to insufficient margin. High leverage leads to automatic closures when markets turn sharply, especially during periods of volatility.

A heavy tilt toward long liquidations suggests many traders were optimistic about the price direction when the market reversed.

Against this backdrop, sentiment has dipped to lows reminiscent of the immediate aftermath following FTXs November 2022 collapse.

Despite its impact, this incident does not rank among the ten largest recorded. The record stood at $19.16 billion in October 2025, following the announcement of a US-China tariff.

Meanwhile, Bitcoin technical indicators highlight warning signs, prompting debate about whether this signals the start of a new bear market or represents a sharp correction.

Sentiment Plummets to FTX-Era Lows

Market analyst Negentropic drew sharp comparisons to the 2022 FTX crisis when evaluating the current outlook. Bitcoins Relative Strength Index (RSI) now sits in massively oversold territory, a condition not seen since 2022.

Last time we had this level of “down in the gutter” sentiment was at the bottom of the 2022 FTX colapse crisis.

RSI is massively oversold on $btc, first time since 2022 $btc breaks below lower volatility band.

For the first time in three years, the pioneer crypto has also dropped below its lower volatility band, signaling severe market stress.

The FTX collapse in November 2022 marked a watershed moment for the crypto industry, erasing billions in market value. News about Alameda Research‘s finances and Binance CEO Changpeng Zhao’s move to liquidate FTT holdings sparked a bank run and ultimately led to FTX‘s bankruptcy, resulting in a drastic drop in Bitcoin’s price as confidence vanished.

This comparison highlights not just price drops, but also deep uncertainty among market participants. Lower liquidity across exchanges, waning engagement from experienced builders, and fast changing narratives mirror the turmoil after the 2022 failures of Luna, Three Arrows Capital, FTX, Genesis, and BlockFi.

Experts Offer Diverging Market Outlooks

Despite negative sentiment, not every analyst sees the situation as catastrophic. CryptoQuant CEO Ki Young Ju outlined a key threshold for confirming a bear market.

In his view, Bitcoin holders from the past 6 to 12 months have a cost basis near $94,000. Unless pricing falls below this level, the bear cycle is not confirmed.

Those who entered Bitcoin 6 to 12 months ago have a cost basis near 94K.

This view adds nuance to the bear market debate. The $94,000 support is both a psychological and technical floor for many holders. Unless that breaks, analysts say the current weakness might simply be a correction within a broader bullish period.

Meanwhile, Haseeb Qureshi of DragonFly Capital offered a contrasting perspective, arguing the market is not facing 2022-level systemic failures.

Unlike that period of cascading exchange collapses, bank failures, and stablecoin depeggings, Qureshi points out that now, losses are coming mainly from falling prices.

TBH this is the easiest bear market I've ever seen.

Seems like most of you have forgotten what 2022 was like. Luna collapsing, then 3AC, then FTX, then Genesis, BlockFi, Axie, NFTs–pretty much everything felt like a house of cards.

Divergent expert opinions reflect the market‘s uncertainty. While indicators and sentiment show distress, the industry’s core infrastructure is holding stronger than during previous crises.

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