The Bitcoin derivatives market experienced a dramatic short squeeze on October 3, 2025, resulting in an 835.15% liquidation imbalance favoring long positions. Within just one hour, $15.43 million in Bitcoin positions were liquidated, with $13.78 million coming from shorts and $1.65 million from longs. The most significant single liquidation was an $11.62 million ETH/USD position on Hyperliquid. Over the past 24 hours, total liquidations reached $364.32 million, with shorts contributing $266.99 million. Following the squeeze, Bitcoin's price stabilized just below $120,000, giving bulls a temporary upper hand in the market.