Memecore (M) Crash: $2.7B Wiped as Longs Liquidate
Memecore's M token cratered from near $3.00, triggering $2.7B in long liquidations. Here's what the cascade means for leveraged crypto traders.
26/06/2026 · 3 min de leitura · Memecore · Liquidations · Leverage · Risk Management · Altcoins
What happened to Memecore's M token
Memecore's M token collapsed from nearly $3.00 over the past 24 hours, knocking out roughly $2.7 billion in value as a wave of long liquidations cascaded through the market. Price tore through major support at $2.50, $1.90, and $1.24 in quick succession, with each break feeding the next.
The damage was concentrated on the long side. Traders positioned for upside with leverage were force-closed as the price fell, and those forced sells added more downside pressure — the textbook liquidation spiral where selling begets more selling.
Why liquidation cascades move this fast
A liquidation cascade happens when leveraged positions are auto-closed at a loss, dumping size into a thinning order book. Each forced sale pushes price lower, tripping the next batch of liquidation levels below. On a token like M, where support zones at $2.50, $1.90, and $1.24 sat close together, those triggers stacked up and the move accelerated.
Leverage works both directions. The same borrowed exposure that amplifies gains on the way up magnifies losses on the way down — and when a market turns against a crowded side, the exit door is too small for everyone at once.
What it means for traders
Position sizing and liquidation distance matter more than entry price. If a single support break can wipe your margin, your leverage is too high for the asset's volatility — thin-liquidity altcoins can gap through multiple levels before a stop even fills.
On OFFCODE, traders running USDC perpetuals up to 50x via Hyperliquid should treat events like this as a reminder to set hard invalidation levels, keep margin buffers above maintenance, and size so that one cascade does not end the account. Use isolated margin to wall off high-risk plays, and watch funding and open interest for signs a trade has become overcrowded.
For spot holders, cascades like Memecore's can create violent dislocations — both the risk of catching a falling knife and the opportunity of capitulation lows. Either way, the lesson is the same: respect leverage, plan the exit before the entry.
Source
Based on reporting by coinpedia. Read the original: https://coinpedia.org/price-analysis/memecore-price-crash-wipes-out-2-7-billion-as-long-liquidations-explode/