Crypto markets absorbed more than $1.2 billion in forced liquidations over the past 24 hours as bitcoin briefly fell to $73,500, according to derivatives tracker Coinglass. Long positions accounted for $1.04 billion of the total, showing that traders positioned for higher prices bore most of the losses during the sell-off.
Bitcoin recovered above $75,400 before retreating again, leaving the market without a sustained rebound after the initial drop. Liquidations in bitcoin-linked positions exceeded $324 million, including more than $281 million from longs, Coinglass data showed. Ethereum saw even larger losses, with more than $507 million in liquidations.
The scale of the long-side wipeout points to a market that had accumulated substantial bullish leverage before prices moved lower. Forced liquidations can amplify declines because exchanges automatically close collateralized positions once traders can no longer meet margin requirements, adding sell orders during already volatile trading.
Etf withdrawals add pressure during bitcoin decline
US-listed spot bitcoin ETFs recorded net outflows of $1.282 billion for the trading week from Nov. 2 through Nov. 6, according to SoSoValue. BlackRock's iShares Bitcoin Trust, known as IBIT, led the withdrawals with a weekly net outflow of $1.209 billion.
The weekly withdrawal was large relative to the fund's recent flows, although IBIT's historical net inflow remained $65.10 billion, SoSoValue said. Grayscale's Bitcoin Trust, or GBTC, recorded a further $61.0 million in net outflows, lifting its cumulative historical net outflow to $28.11 billion.
Fidelity's Wise Origin Bitcoin Fund, FBTC, was the largest exception among the major funds, posting a $93.1 million weekly net inflow. Its historical cumulative inflows stood at $10.27 billion. The split between IBIT withdrawals and FBTC subscriptions suggests the week's ETF activity was concentrated rather than uniformly negative across all issuers.
Strategy, the corporate bitcoin holder formerly known as MicroStrategy, continued buying through the market weakness. The company said it acquired 1,036 bitcoin for $81.9 million, or an average price of $79,012 per coin.
Its total bitcoin holdings reached 850,364 coins, purchased for $64.16 billion at an average cost of $75,456 per bitcoin, according to the company. Strategy also reported $4.77 billion in dollar reserves, $146.2 million in cash, and $283.8 million raised during the week through sales of MSTR common stock.
The company separately repurchased 1.89 million shares of its STRC preferred stock for $188.3 million. That combination of bitcoin purchases, stock issuance and preferred-share repurchases shows Strategy is continuing to actively manage its capital structure while maintaining its long-running bitcoin accumulation strategy.
Stolen funds moved through meme-token liquidity pools
Security concerns added another layer of tension after blockchain analytics firm Elliptic said the attacker behind the Binance hack moved stolen assets through newly created meme tokens and decentralized exchange liquidity pools.
According to Elliptic, the attacker used networks including Tron, NEAR and Solana to make transfers appear more like routine token trading. The method involved creating new tokens, pairing them in liquidity pools with assets such as NEAR or stablecoins, and using separate wallets to buy and sell the tokens.
Between Nov. 5 and Nov. 7, the attacker created at least six meme tokens on NEAR, Elliptic said. Creating each token cost roughly 25 NEAR. The operation moved about 117,000 NEAR, valued at approximately $430,000, while 11.8 million NEAR worth roughly $43.7 million remained unmoved.
The activity illustrates how low-cost token creation and thin liquidity pools can be used to obscure the path of stolen funds. Rather than relying solely on conventional token swaps, the attacker could create trading activity around assets they controlled, complicating transaction tracing across multiple blockchains.
Other security incidents emerged across the sector. Onchain Lens reported that Ankr's ethereum cross-chain bridge was attacked after an alleged small deposit on Optimism triggered five withdrawals, with approximately $292,000 transferred out.
Software-security company Socket also disclosed a supply-chain incident involving Swarm. A malicious version of the bee-js package, version 13.3.0, was published to npm on Nov. 9, while a trojanized Swarm Desktop 0.56.2 application was distributed through the project's automatic update system.
Socket said the malicious code read Bee node configuration files and encrypted wallet keystores before transmitting them to an attacker. The Bee configuration file stored the keystore password in plaintext, according to Socket. The malicious package has since been removed from npm and the affected desktop release was pulled. No confirmed fund losses had been reported.
Injective halt prompts exchange restrictions
Injective's mainnet also stopped producing blocks, with its latest block listed at height 191,016,661 and generated at 21:04 Beijing time. South Korean exchanges Upbit and Coinone suspended deposits and withdrawals involving INJ while keeping spot trading and other services available.
A block-production halt can prevent deposits, withdrawals and on-chain settlement from being safely processed, even when token trading remains open on centralized platforms. The incident places particular pressure on traders moving funds between wallets or using INJ in decentralized applications until validators restore normal operations.
Tokenized equities and wallet growth extend blockchain use cases
The New York Stock Exchange said it plans to use the Avalanche blockchain to settle tokenized stocks. The announcement connects a major traditional market operator with a public blockchain network designed to support tokenized financial assets.
Telegram founder Pavel Durov separately said more than 700,000 self-custody wallets were created on the messaging platform over the preceding 48 hours. The figure suggests that embedded wallet tools can rapidly attract users when they are integrated into applications with large existing audiences, though wallet creation alone does not show how actively those wallets will be used.
Funding rebound was dominated by Kalshi deal
Crypto-sector venture funding reached $1.65 billion in October 2026, more than double September's total, according to the figures provided. Kalshi's $1 billion Series G accounted for 61% of the monthly total, making it the dominant driver of the increase.
Excluding Kalshi, projects raised $651 million, down from $665 million in September. After removing October's two largest funding rounds, the remaining total was $451 million, compared with $455 million a month earlier. The underlying funding market therefore changed little despite the headline jump.
October recorded 46 rounds, compared with 44 in September and 116 during the same period in 2025. Seed and pre-seed funding rose 8% to $123 million across 20 rounds, while payments-related companies completed 12 deals worth $342 million, including Whop's $200 million raise.
Regulators tighten rules on crypto services and asset seizures
China's Cyberspace Administration published guidance for its new filing system covering internet technologies, identifying five conditions that can affect blockchain information-service filings. The guidance includes activity involving virtual-currency issuance, trading or initial coin offerings.
The regulator also said service names cannot include terms such as "virtual currency," "exchange" or "ICO." Blockchain-as-a-service providers offering infrastructure, nodes or data notarization to outside parties must complete filings, according to the FAQ.
South Korea's Supreme Court Court Administration said revised Civil Execution Rules took effect on Nov. 1, establishing procedures for the seizure, transfer and liquidation of crypto assets. Civil enforcement cases involving crypto exchanges rose from 423 in 2023 to 3,136 in 2025, with 3,186 cases recorded in the first nine months of 2026.
In the UK, the Financial Conduct Authority said banks may apply to conduct crypto-asset business ahead of the country's incoming regulatory regime. Firms that apply by Feb. 28, 2027 and satisfy specified requirements may continue operating while their applications are reviewed.
Poland's lower house also passed a sanctions bill extending asset restrictions to crypto holdings, bank balances and real estate. The measure would allow crypto assets held on platforms by sanctioned parties to be frozen before court review. It passed 240 votes to 202, with one abstention, and now awaits senate consideration and President Karol Nawrocki's signature.
Worried about cascading liquidations? Learn how to avoid liquidation and protect your crypto positions in volatile markets.
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