Perps DEXs will probably airdrop everyone who got liquidated yesterday so keep your head up ...

Crisis Response & Transparency - The company addresses concerns arising from a viral post and assures users of their commitment, emphasizing that user stories are prioritized [1][2] - The company states that all traders were immediately and automatically paid out without issue following a massive liquidation cascade [3] - The company clarifies there were no clawbacks or socialized losses [4] - The company publishes daily proof of reserves, and the exchange has been operating uninterrupted since the event, albeit with some hiccups [4] - The company emphasizes its approachability and commitment to doing the right thing, lacking a PR crisis management team [15] Technical Explanation & System Design - The company explains that a screenshot was taken out of context, clarifying it was a technical explanation of how futures profits and losses work, not a policy decision [3][5] - The company operates as a neutral peer-to-peer exchange, not taking positions for users or providing liquidity [6] - The company details the settlement process where profits are exchanged between longs and shorts, highlighting that winners earn from losers in a zero-sum system [7][8] - The company clarifies that bankrupt users caused a settlement issue, which was resolved by the company settling all accounts before publishing proof of reserves [9][10] - The company designed the system to be robust to liquidation events, isolating risk between longs and shorts, with spot holders unaffected [13]

Still trying to process this.$20B in liq’s is a bloody massacre… https://t.co/cbzP7JZAsbHaseeb ＞|＜ (@hosseeb):Best analytical writeups/threads about the recent crash re: microstructure, auto-deleveraging, depegs, etc? Seems like lots to dissect across the industry in last 24 hours. ...

RT jeff.hl (@chameleon_jeff)TLDR: During recent volatility, Hyperliquid had 100% uptime with zero bad debt. This was Hyperliquid’s first cross-margin ADL in more than 2 years of operation. ADL does not change the outcome for any liquidated users. While some specific ADL providing trades were unfavorable, the aggregate effect of ADL was that traders realized significant pnl by closing positions at favorable prices that were only briefly available.--It’s sad to see some people attack Hyperliquid to deflect fr ...

Market Analysis - The crypto market experienced its largest liquidation event in history [1] - This liquidation event potentially marked the bottom for most altcoins [1] - Historically, after leverage flush, the market tends to bottom out and experience significant growth [1] - This growth is attributed to the completion of all necessary selling and panic selling [1]

RT Elliscope🧑‍🚀 (@elliscopef)we just experienced one of the most volatile day in the market. @navi_protocol as a platform is performing as expected and fully okay.all oracle performed as normal, some liquidation was triggered as protective mechanism- specifically, 3,722 liquidations totaling about $10M in collateral.liquidating users is not our preference, and please be careful with one's position by adding more variety of assets as collaterals. ...

Yesterday’s crypto crash explained with damage, how it happened, and whyWe saw the biggest crash in the history of crypto with $19.2 billion liquidated and approx $800 billion in value wiped out across the board.Altcoins were hit the hardest , with many dropping 50%or more in just hours.Prices for some tokens, like IOTX on Binance, even briefly hit zero due to the chaos.But what exactly started this crash?To break it down simply, think of it like a chain reaction in a highly leveraged game of musical chairs ...

Performance & Impact - The crypto market experienced significant liquidation cascades, with tens of billions of dollars liquidated within minutes [1] - Some altcoins prices approached near zero on centralized exchanges, leading to the liquidation of even 'low leverage' positions [1] - Breakout's system experienced degraded performance due to the high volume of requests [1] Improvements & Support - Breakout has implemented significant improvements to both the trading terminal and risk engine to better handle similar events in the future [2] - Breakout's support team is actively addressing traders' questions and providing compensation where applicable [2][3] Risk Management - Breakout emphasizes that the maximum risk for traders is limited to the test fee [2] - Breakout offers no cross-margin risk, and traders' core spot positions remain unaffected [2]

Market Overview - Crypto market experienced significant losses, with some top-tier coins down 185% in 24 hours and other old coins down 12+% [1] - Bitcoin down 75% daily and 8% weekly, Ethereum down 116% and 145% [2] - Some old coins experienced wicks down approximately 80% [3] - Crypto market correction of 24% is considered normal price action [8] Market Analysis & Prediction - The author bets on the current situation being a major correction before a significant market run-up [2] - Altcoin market retraced into major demand zones going back to 2024, with a single daily candle dropping 21+% [6] - Total crypto market experienced a $1 trillion loss [9][30] - The author believes the recent move should be the bottom for the market, otherwise, it could indicate a bear market [12][13] - The author expects the market to bottom sooner than most expect and then build back to the upside [41] Technical Indicators - RSI (Relative Strength Index) is close to bottom points, suggesting a potential bottom around current levels [12] - The VIX (Volatility Index) spiked 129%, marking the 51st largest spike ever, indicating investors are seeking protection [19] Trading Strategy & Advice - The author advises holding spot and having stable coins on the sidelines to prepare for market volatility [32] - The author advises against going "all out" and catching a falling knife, suggesting averaging in and waiting for confirmation of a bottom [36] - The author believes the selloff was exaggerated due to over $16 billion in liquidations [29]

$17B in longs liquidated and only $5.8B of that came from BTC.BTC was over ~50% underrepresented relative to the broader market in yesterday's crash.The wipeout mostly came primarily from the casino. Clearing out the dead leaves.This is extremely bullish. ...