Cryptocurrency markets experienced a dramatic downturn in October 2025, fueled by significant liquidations exceeding $19 billion. This unprecedented event marked the largest single-day liquidation in crypto history, driven primarily by macroeconomic factors and high leverage. This massive selloff impacted over 1.6 million traders across prominent exchanges like Binance and OKX, who faced infrastructure challenges during the sudden market shifts. The crash led to substantial losses for Bitcoin and Ethereum, which saw prices plummet before recovering somewhat, while DeFi TVL experienced a significant decline, impacting liquidity on various platforms. This event echoes the scale of the 2022 FTX collapse, highlighting the volatility of crypto markets. Experts emphasize the need for stricter leverage controls and robust risk management protocols to mitigate future market volatility.