Crude oil just had its biggest day in history, and the traders shorting or taking bearish bets on it over the weekend paid the price.

Tokenized oil perpetual contracts on Hyperliquid recorded nearly $40 million in liquidations over the past 24 hours, per Coinglass, with $36.9 million of that coming from short positions that got obliterated as crude surged roughly 30% on a dramatic escalation of the Iran conflict.

The CL-USDC contract on Hyperliquid jumped to $114.77, up nearly 20% in 24 hours. The USOIL-USDH pair hit $135, up 9% on the day after already surging earlier in the week.

The oil move dwarfed everything else in commodities. Brent and WTI are trading at levels not seen since Russia's invasion of Ukraine in 2022, and the single-day percentage gain is on track to be the largest in the history of the oil market.

The catalyst was a weekend that went from bad to catastrophic. Iran appointed Mojtaba Khamenei as new supreme leader, replacing his father who was killed in the opening wave of strikes. Israel launched a fresh round of attacks on Iranian and Hezbollah infrastructure.

Iranian missiles and drones expanded beyond Israel to hit Saudi Arabia and Bahrain, killing two people near Riyadh and targeting energy infrastructure. Iraq's oil output dropped roughly 60%. Kuwait and the UAE trimmed production as tanker traffic through the Strait of Hormuz collapsed.

Anyone shorting oil into that backdrop got carried out. The $36.9 million in short liquidations on the CL contract alone made oil one of the largest single-asset liquidation events on Hyperliquid outside of bitcoin and ether on Sunday.

Across the broader crypto market, CoinGlass data shows 94,058 traders were liquidated in the past 24 hours with total losses hitting $364.4 million. Bitcoin accounted for $156.67 million of that, ether contributed $70.88 million, and solana added $19.8 million.

Long liquidations outpaced shorts at $215 million versus $149 million, reflecting the broader sell-off in crypto as risk assets dropped on the escalation. The largest single liquidation was a $6.88 million BTC-USD position on Hyperliquid.

Traders are increasingly using crypto perpetual markets to express macro views on oil, metals, and currencies, drawn by 24/7 access, lower margin requirements, and the ability to trade during weekends when traditional commodity markets are closed.

When missiles start flying on a Saturday, Hyperliquid's oil contract is one of the only places in the world where you can get leveraged crude exposure.

Open interest on the CL-USDC contract sat at $195 million with $570 million in 24-hour volume, numbers that would have been unthinkable for a tokenized commodity product a year ago. The USOIL pair carried $4.1 million in open interest with $16.2 million in volume, smaller but growing.