Hedge funds experienced a dramatic sell-off on April 5, with $40 billion in stocks sold, marking their largest daily selling spree since 2010. This selling trend has persisted, with hedge funds having sold US equities in 10 of the last 11 weeks. The long/short ratio for hedge funds has fallen to its lowest level in five years, indicating a shift towards short selling, which has been three times greater than long positions. The recent market turmoil has also affected private equity, where large institutional investors are seeking to exit their investments in illiquid funds due to declining values. The downturn has been exacerbated by rising investor concerns over delayed distributions and the impact of economic conditions on private credit. In the past 24 hours alone, there have been significant liquidations in the crypto market, totaling over $1.13 billion, with 443,432 traders affected. The largest single liquidation was valued at approximately $16.38 million on a Bitcoin trade. This series of events reflects a broader trend of capitulation among investors as they brace for potential margin calls amid the ongoing market rout.