The global cryptocurrency market has experienced a significant downturn, losing $1.1 trillion in value over the past 41 days, averaging a daily loss of $27 billion. This decline is primarily attributed to institutional outflows and extreme leverage, which have triggered massive liquidations across the market. Bitcoin has fallen by 25% over the past month, while Ethereum has seen a 35% drop since early October. The Kobeissi Letter highlights that leveraged trading has exacerbated the situation, as even minor price fluctuations have led to cascading liquidations. The total market capitalization is now 10% below the levels observed during the October 10 liquidation event, indicating a structural decline in the market.