Bitcoin, the largest cryptocurrency, suddenly crashed to the $56,000 level, shedding more than 7% within one minute on major spot exchanges.
It hit an intraday low of $56,425 on the Bitstamp exchange at 6:49 p.m. on the Bitstamp exchange.
The cryptocurrency has now pared a large portion of the recent losses.
After hitting an all-time high of $67,276 on Oct. 20, Bitcoin started displaying some weakness. The top coin recovered to $61,848 earlier today, but bulls were then caught off guard by the most recent flash crash.
More than $50 million worth of Bitcoin longs has been liquidated over the past hour, according to Bybt data.
On Oct. 21, the crypto king plummeted to the $8,200 level on the Binance.US exchange due to a bug in a client's trading algorithm.