Crypto Liquidation Wave Wipes $563 Million as Bitcoin and Ether Lead Forced Selling

Cryptocurrency traders betting on a continued rally lost $563 million in forced liquidations in the 24 hours to May 18, with Bitcoin (BTC) and Ethereum (ETH) accounting for the largest share of losses. Long futures positions dominated the wipeout as both assets slid on macro pressure.

The scale of the liquidation event ranks among the heaviest single-day forced selling episodes of 2026.

What Happened

A CoinDesk report published May 18 placed the 24-hour liquidation total at $563 million. Long positions, those betting on rising prices, bore the brunt.

Bitcoin traded near $76,785 as selling pressure mounted. Ethereum (ETH) fell roughly 3.2% over the same window, dropping to approximately $2,117. Perpetual futures, derivatives contracts with no expiration date that traders use to take leveraged positions on cryptocurrency prices, were the primary vehicle for the losses.

Also Read: Harvard Cuts Bitcoin ETF Stake and Exits Ethereum ETFs as Sovereign Funds Buy

Background

Bitcoin had been trading near $77,000 for much of mid-May 2026, holding a narrow range as macro uncertainty around oil prices and U.S.

Treasury yields kept institutional buyers cautious. Spot Bitcoin ETFs posted net outflows of $1.039 billion in the most recent weekly period, ending a six-week inflow streak.

That reversal removed a key demand pillar that had supported prices since late March. The Verus-Ethereum bridge lost $11 million in a separate hack on May 18, adding to negative sentiment across the cryptocurrency market on the same day, as reported by CoinDesk.

Also Read: Grayscale and VanEck File Amended BNB ETF Registrations in Latest Push for US Approval

What Comes Next

Traders will watch whether Bitcoin can hold above the $75,000 support level that served as a floor in early May 2026.

A break below that level would likely trigger additional liquidations from leveraged positions still open in the futures market. The weekly ETF flow data due at the end of May will be the clearest indicator of whether institutional demand has genuinely turned or whether the current outflow streak is a short-term repositioning.

On-chain analysts have flagged that retail spot buying has not stepped in to offset the ETF outflows, leaving the market dependent on whale accumulation for near-term stability.

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