In the past 24 hours, the crypto market seemed to have been pressed down by an invisible hand on the "liquidation" button: as of June 6, the total amount of liquidations across the network reached approximately $1.829 billion, with around 347,462 accounts liquidated. The proportion of long positions was close to 80%, with concentrated liquidation in the bullish direction. Long positions were liquidated for about $1.457 billion, while short positions accounted for only about $372 million, as leveraged longs suffered a collective stampede during a withdrawal of liquidity. In terms of sentiment, the Fear and Greed Index dropped to 12, falling into the officially defined "extreme fear" zone. The technical deleveraging and the self-reinforcing nature of fear intertwined, pushing this round of declines from price fluctuations to a reset of risk appetite. Along the same timeline, the Islamic Republic of Iran Broadcasting reported explosions in the Sirik region, with no official confirmation of the cause, leading to a rapid amplification of geopolitical uncertainty; against this backdrop, U.S. President Trump publicly stated that he would swiftly end hostilities with Iran to eliminate a key factor driving up prices. The market began to reassess the timelines for war, oil prices, and inflation. Meanwhile, Google agreed to pay SpaceX approximately $920 million per month to purchase computing power, with the agreement lasting until mid-2029, providing rare clarity on medium to long-term capital commitments in the AI computing track. The overlapping expectations for short-term hostilities, inflation imaginations, and long-term computing power expansion reshuffled macro discount rates, risk premiums, and tech growth narratives, turning the core question into: after this round of liquidations and extreme fear, how will the positioning of crypto assets in the risk asset spectrum and the risk appetite for BTC, ETH, and others be repriced under the dual impact of expectations of hostilities and the expansion of computing capital.

$1.8 Billion Liquidation: The Bloodbath of Bullish Retreat

During the same time frame where expectations of hostilities and macro discount rates were being reassessed, what actually diminished the fastest was the patience of leveraged longs. Within 24 hours from June 5 to June 6, approximately $1.829 billion was liquidated across the network, of which long positions were about $1.457 billion and short positions approximately $372 million, with bulls accounting for nearly 80%. The number of liquidated accounts was around 347,462, with the largest single forced liquidation occurring on Binance's BTCUSDT contract, amounting to approximately $13.3164 million. This set of figures illustrates that this is not a technical liquidation of a balanced market, but a one-sided crowded long "stampede": price fluctuations triggered the first batch of highly leveraged longs to be liquidated, and the forced selling in turn drove prices lower, further triggering more margin-deficient longs, rapidly amplifying into systemic deleveraging.

From the perspective of macro variables, this round of liquidations at the $1.8 billion level corresponds to a significant decrease in the effective leverage rate across the entire crypto derivatives chain in a short period: perpetual and futures contracts for mainstream coins such as BTC and ETH were forced to reduce positions, and prices magnified volatility due to passive selling, causing the risk tolerance in the futures market to reset. Regarding trading structure, the enduring "high-leverage longs + passive selling liquidity" model suffered a heavy blow during these 24 hours, with funds undergoing a typical reallocation path after the forced liquidations – some chose to withdraw their chips from high-leverage contracts back to low-leverage or even no-leverage spot positions, while others simply returned to fiat currency to observe, shifting their positions from "high beta speculation" to "waiting for clearer macro signals." Against the backdrop of uncertain hostilities and reassessed inflation paths, this passive deleveraging led to an increase in risk premiums for key assets like BTC and ETH and a noticeable downgrade in leverage preferences. The market was willing to demand higher risk compensation for the same price fluctuations, which is the variable that was truly repriced after the liquidations.

Fear Index at 12 and Safe-Haven Fund Shift

The Fear and Greed Index plummeted to 12, classified by officials as "extreme fear," which is not a simple emotional description but a quantitative signal that the leveraged structure is collapsing. Over 24 hours, approximately $1.829 billion was liquidated across the network, with long positions accounting for $1.457 billion; the index declined in tandem with the scale of liquidations, indicating that the deterioration of sentiment and the chain of liquidations were amplified simultaneously. Historically, when the index falls within the 10-15 range, it often corresponds to phases of increased on-chain transaction volume and rapid reductions in leverage, as the market shifts from "leveraging to bet on trends" to "survive first." The current rhythm closely aligns with this pattern.

In this extreme fear scenario, the instinctive reaction of funds is to withdraw from high-beta assets like altcoins and concentrate on assets with better liquidity and credit conditions, such as BTC and ETH, while further flowing back into fiat and dollar-denominated assets. This is a path that has recurred during multiple past crises. The specific flow of funds on-chain is not yet clear, but based on experience, dollar-pegged tokens are likely to play a dual role in such environments: on one hand, after liquidation of contracts and reduction in spot holdings, funds shelter in these pegged assets, effectively completing a "cash-out" within the crypto system and acting as a short-term risk hedging tool; on the other hand, if panic extends to the macro level, holders redeem these pegged assets into dollars in the banking system, or directly use them to sell BTC, ETH on the OTC market, transforming the on-chain "hedging positions" into selling pressure in the spot market. The extreme reading of the fear index at 12 implies that the market is not only witnessing a price decline but is also collectively rearranging the asset spectrum, moving from high-beta altcoins to BTC and ETH, and then to dollar-pegged assets and fiat, where the risk premiums at each level are being re-tagged.

Rumors of Explosions in Iran and Trump's De-escalation of Hostilities

The Islamic Republic of Iran Broadcasting reported explosions in the Sirik region, but the cause has not been officially confirmed. This "hearing noises but no narrative" geopolitical news impacts the market by forcing traders to use their imagination to fill in the worst-case scenarios—disruptions in oil transport routes, supply interruptions, energy prices surging again, thus pushing inflation expectations, which had just been pushed down, back up. The crypto market has just experienced $1.829 billion in liquidations and an extreme reading of the fear index dropping to 12; under this emotional base, most investors will not wait for the facts to become clear before re-leveraging but will first add risk premiums to all assets closely related to global liquidity. As high-beta risk assets, BTC and ETH are at the forefront, treated as collateral to "sell first and ask questions later."

Almost simultaneously, U.S. President Trump publicly stated the intention to quickly end hostilities with Iran, presenting it as a policy commitment to lower prices and relieve cost-of-living pressures to voters. This statement has removed a portion of the geopolitical premium from risk assets on the macro level: if the market believes the hostilities will soon conclude, then expectations for oil prices and inflation paths will shift from "out of control again" to "manageable range." The issue is that there is currently no reliable ceasefire timetable or negotiation details, and the unconfirmed rumors of explosions in Sirik intertwine with the political rhetoric of "de-escalation of hostilities," creating contradictory signals in the macro narrative. In this chaotic interval, funds' pricing of BTC is pulled toward two extremes: treating it as a high-volatility tech asset traded alongside U.S. stocks, it is sold off with overall risk appetite; viewed as a potential geopolitical hedging tool, some long-term funds are willing to absorb it during panic, configuring BTC as a "combinatorial option" against unexpected oil prices and inflation. Whether the subsequent signals from Iran align in one direction will determine whether BTC is closer to being "an abandoned high-beta position" or "a retained insurance policy amid geopolitical storms" within investors' asset spectrum.

Google’s $920 Million Monthly Computing Power Bet and Risks

On the other end of the asset spectrum, Google chooses to lock in its computing power costs for the coming years with a long-term contract—agreeing to pay SpaceX about $920 million monthly for computing power, with the agreement lasting until mid-2029. The crypto market just experienced $1.8 billion in liquidations and the sentiment index dropped into "extreme fear," yet traditional tech giants at the same time locked in capital expenditures of the same magnitude or even higher firmly on the AI computing track. This contrast itself tells the story of repricing risk capital: short-term high-leverage speculation is ruthlessly liquidated, while long-term, predictable cash flow-supported computing capital expenditures are being ramped up, with funds reordering themselves between "plausible tech stories" and "high volatility crypto casinos."

For crypto, this kind of computing arms race is not just pure external news; it directly shapes the higher-level narrative that influences internal risk preferences within the sector. Locking in the demand for AI computing until 2029 provides a real anchor for keywords such as "computing scarcity" and "GPU equity": on-chain tokens related to AI and narratives built around GPUs and inference services are more likely to be reignited as high-beta bets during the next round of risk recovery. While funds deleverage from BTC and ETH, they may structurally increase the weight of the "AI + on-chain" theme, using them as leveraged shadow positions compared to the Nasdaq and tech stocks. What truly needs observation is whether there is a significant sector rotation of funds on-chain afterward—drawing blood from the broad meme and gaming sectors, concentrating bets on AI narratives, thereby redrawing the beta levels of various assets within crypto when risk appetite warms in the next wave.

The Next Wave of Volatility Under Hostility Expectations and Computing Arms Race

After $1.829 billion was liquidated across the network in 24 hours, with approximately 80% of that being long positions and sentiment indicators dropping to a fear level of 12, this passive deleveraging has entirely pressed the short-term emotions of the crypto market onto macro variables: one side is the rise of risk premiums brought by the unconfirmed explosions in Sirik, while the other is Trump’s declaration of “quickly ending hostilities with Iran and lowering prices,” forcing the market to reprice risks between the two paths of “hostilities continue to elevate inflation” and “hostilities soon conclude, price pressures ease.” For crypto assets, this means that after extreme fear, if expectations of hostilities gradually cool and inflation paths shift toward moderation, risk appetite may conditionally recover, but the recovery will be structural: the premium of BTC is more directly tied to the narratives about hostilities and inflation, meaning that its discount or premium as a macro hedge will sway with the situation in Iran and U.S. policy directions; ETH and the "AI + on-chain" sector will be more strongly bound to computing capital expenditures—Google's commitment to pay SpaceX about $920 million monthly until mid-2029 locks in long-term funds for the AI track, thus reinforcing the pricing foundation of "tech growth shadow assets" in crypto. The next factors to closely monitor are: first, whether official information regarding the Iran explosions points to de-escalation or escalation, thereby affecting oil prices and global inflation expectations; second, how the U.S. balances between hostilities and prices, and whether Trump’s political willingness to end hostilities can translate into concrete policies; third, whether AI-related capital expenditures continue to advance as planned and inject long-term cash flow into the computing track—these three clues will directly determine BTC’s macro premium, the discount rate for ETH as a tech asset, and the ability of the AI-themed sector to maintain the current risk pricing akin to "Nasdaq options."

Join our community to discuss and grow stronger together!
AiCoin exclusive Hyperliquid benefits: https://app.hyperliquid.xyz/join/AICOIN88
AiCoin exclusive Aster benefits: https://www.asterdex.com/zh-CN/referral/9C50e2
On-chain Telegram community: https://t.me/AiCoinWhaleData
On-chain community: https://www.aicoin.com/link/chat?cid=N6OVMor5g
AiCoin on-chain Twitter: https://x.com/aicoinwhaledata

免责声明：本文章仅代表作者个人观点，不代表本平台的立场和观点。本文章仅供信息分享，不构成对任何人的任何投资建议。用户与作者之间的任何争议，与本平台无关。如网页中刊载的文章或图片涉及侵权，请提供相关的权利证明和身份证明发送邮件到support@aicoin.com，本平台相关工作人员将会进行核查。