Crypto Market Risks Persist One Year After the 1011 Crash
Photo: Coincu
One year after the sharp October 2025 deleveraging event traders have come to call the “1011 Crash,” crypto markets continue to carry the structural vulnerabilities that amplified that sell-off, including elevated open interest, thin spot liquidity, and counterparty concentration risks that remain observable across major derivatives venues. The October 11, 2025 drawdown served as a live stress test for a market that had been building leverage through successive rallies. Cascading liquidations, the defining mechanism of that event, do not require a fundamental catalyst; they require only that open interest outpaces available liquidity at the margin, triggering forced selling that compounds…
Source: Coincu
