Forgotten Crypto Token LSK Jumps 500% Before Crashing: What Happened?

Lisk (LSK) climbed above $2 on Sunday, a gain of more than 900% from its August floor. On Sunday alone, it soared by over 500% before surrendering most of that within hours and now trades near $0.80.

The round trip made LSK the single largest liquidation event in crypto over 24 hours. Traders positioned on both sides of the move were forced out.

Short Sellers Paid for the LSK Price Spike

Coinglass recorded $41.13 million in LSK liquidations across the day. Shorts accounted for $33.68 million of that total, against $7.44 million in longs.

That four-to-one split points to forced buying rather than fresh demand. Short sellers betting on a decline had to repurchase the token as it rose. Each repurchase lifted the price further.

Open interest, meaning the value of outstanding futures positions, reached roughly $42 million against $501 million in daily futures turnover. Spot order books were far thinner. LSK's current price and volume show it holding near $0.81, still up more than 300% on the day.

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