Crypto Market Melts Down After Record Liquidations
The cryptocurrency market witnessed one of its most brutal crashes in history as over $19 billion worth of positions were liquidated within 24 hours. Bitcoin, the world’s largest cryptocurrency, plunged sharply, sending shockwaves across all major digital assets.
This sudden collapse triggered widespread panic selling, leaving both retail investors and institutional traders stunned.
Donald Trump’s Tariff Announcement Adds Fuel to the Fire
One of the biggest triggers behind the crash was Donald Trump’s proposal of 100% tariffs on Chinese goods. The move heightened fears of a global economic slowdown, forcing investors to pull out of high-risk assets like Bitcoin and shift towards safer investments such as gold and bonds.
Market analysts believe that this macroeconomic uncertainty directly intensified the crypto sell-off, leading to a cascading effect across exchanges.
Altcoins Hit Harder Than Bitcoin
While Bitcoin suffered major losses, smaller cryptocurrencies saw even more dramatic declines:
- Ethereum fell sharply, losing double-digit value within hours.
- Solana and XRP faced accelerated selling pressure, wiping out recent gains.
- Leveraged traders were hit the hardest, accounting for most of the liquidations.
Experts Warn of More Volatility Ahead
Crypto strategists suggest that while the crash appears extreme, it may not be the end of the downturn.
“When macro risks collide with leveraged crypto trading, price drops become inevitable,” noted one market analyst. “Recovery will depend on global policy clarity.”
Some experts also believe that long-term investors may view this correction as a buying opportunity, particularly if Bitcoin stabilizes near major support zones.
Will Bitcoin Recover or Fall Further?
The big question now haunting investors is whether Bitcoin will bounce back or slip into a deeper bear phase.
If global markets stabilize and tariff fears subside, a slow recovery is possible. However, if uncertainty continues, another wave of sell-offs cannot be ruled out.
Final Take: A Harsh Reminder of Crypto Risk
This historic crash serves as a powerful reminder that Bitcoin remains a high-risk, high-reward investment. While long-term believers are likely to hold, short-term traders must brace for continued turbulence.
