Bitcoin's price dropped sharply by 6.5%, falling below the $41,000 mark on December 11, erasing nearly a week's worth of gains.
The sudden decline occurred within 20 minutes, dropping from $43,357 to a low of $40,659, before slightly recovering to around $41,960.
Ethereum and other major cryptocurrencies, including Binance Coin, Ripple, and Solana, experienced similar abrupt declines.
The price drop led to over $270 million in long position liquidations and a reduction in Bitcoin's open interest by about $1.2 billion.