Key Insights:
- Bitcoin price crashed to nearly $100,000 amid a $500 billion crypto market wipeout.
- Trump’s 100% tariff announcement on China triggered over $9.5 billion in liquidations.
- Arthur Hayes said Bitcoin’s bull cycle remains intact as global liquidity expands.
Market Meltdown Follows Trump’s Truth Social Post
The Bitcoin price plunged late Friday after U.S. President Donald Trump announced sweeping tariffs on China, triggering one of the most volatile hours in global markets. His Truth Social post called for a 100% tariff on Chinese imports and new export controls on “any and all critical software.”
Within minutes, the crypto market lost about $500 billion in market capitalization, according to CoinMarketCap data. CoinGlass reported that more than 1.5 million traders were liquidated in 24 hours, resulting in losses totaling $9.57 billion. The largest single liquidation occurred on HTX, where a BTC-USDT position worth $87.5 million was wiped out.
The Bitcoin price dropped to $109,685 on TradingView, but it fell even further on other platforms. It hit $102,000 on Binance and briefly crashed to $100,837 on Hyperliquid, underscoring extreme dislocation between spot and derivatives markets.
Crypto Market Cap Down Around $500B, Retail Users Loses Big, $9.5B Liquidated
Crypto markets plunged after Trump’s big announcement, having lost around $500 Billion in market capitalization at the time of writing.
The difference in prices between exchanges and spot levels revealed a sharp liquidity crunch, which can be attributed to the volatility. Those with longs are likely to have lost significantly.
TradingView data showed BTC went as low as $109,685. However, BTC price on popular cryptocurrency exchanges went far lower. The so-called ‘digital gold’ fell as low as $100,837 on the popular decentralized perps exchange Hyperliquid. On Binance, the largest centralized exchange, the low was $102,000.
According to CoinGlass, at press time, ‘in the past 24 hours, 1,519,119 traders were liquidated, the total liquidations come in at $9.57 billion. The largest single liquidation order happened on HTX – BTC-USDT, valued $87.53 Million.’
Markets had begun pricing in the Trump-related volatility hours before he announces 100% tariffs on China. Chatter on social media platforms reflected anticipation of a market crash. However, the extent of the crash was largely unprecedented.
According to Trump, China’s actions were ‘hostile’ and ‘unprecedented’.
BTC fell to $102,000 after Trump’s Truth Social Post | Source: Binance exchange
BTC was around $800 short of dropping below $100,000 | Source: Hyperliquid exchange
While the spot price of Bitcoin plunged to as low as $100,000 on Hyperliquid, people had different experiences across platforms.
Among other losers, ETH fell over 12% over the past day, XRP was down 17%, while BNB shed. Solana slid by over 14%.
Analysts Point to Liquidity Drivers Behind the Crash
According to Ali @ali_charts, the selloff resembled the December 2021 liquidation candle that preceded the last bear market. “This isn’t just another crash,” he said, warning that a new phase of volatility could follow.
However, some analysts remained optimistic about a near-term rebound. Arthur Hayes, BitMEX co-founder, said on X that the Bitcoin bull cycle remained intact. “Liquidity is the main driver; traders should follow cash flows, not old patterns,” he wrote. Hayes cited renewed monetary easing from both Washington and Beijing.
“The U.S. Federal Reserve cut rates by 25 basis points in Sept. 2025 and drained $2.5 trillion from its Reverse Repo Program,” Hayes noted. “China is shifting from a deflationary to a supportive policy stance.” According to him, the combined stimulus from the world’s two largest economies could extend the crypto bull run, even amid trade turbulence.
Market observer CryptosR_Us echoed this, calling the selloff “temporary panic” amid strong liquidity inflows. He suggested traders watch funding rates and open interest for early recovery signals.
Stocks, Oil Hit Hard, Gold and Silver Show Slight Uptick
Dow Jones lost over 800 points while S&P 500 fel by over 2.5% when the Trump shockwave began.
Trump had also said that additional export controls would be imposed on “any and all critical software.”
Rare earth minerals are at the center of the latest flashpoint in the US-China trade negotiations. CNBC accounts for over 70% of the world’s supply of rare earth minerals; these minerals are used in the production of advanced technological systems.
The new tariffs will take effect on November 1, 2025.
Recovery Ahead or High Volatility Preparing to Strike Again? Key Levels?
A ‘liquidity hunt’ is likely given that large sections of the market may be perceiving the immediate market bounce-back as recovery.
For Bitcoin, liquidity pending at the $107,000 zone is vulnerable right now as buy orders near this zone could be liquidated very soon in case of a liquidity hunt. That is, although it seems like BTC mustered enough courage to take on the volatility triggered by Trump’s announcement,
Meanwhile, Max Crypto pointed out that it was a ‘well planned, coordinated dump..’ He added that a V-shaped recovery was possible and that a ‘parabolic rally’ would follow.
Market Players That Made Hay…
Amid the market dump, Cardone Capital scooped $300 Million worth of Bitcoin, the company founder Grant Cardone announced on X. Describing his company as ‘Real Estate Bitcoin Hybrid,’ he said that the company used monthly cash flow to place buy orders below market and let the market fill the orders.
An X account (@wacy_time1) highlighted that someone made a 284,900% profit from ATOM’s rise, having bought it at just $0.001.
Moses K is a crypto journalist covering markets, regulation, and blockchain trends. He has written for The Coin Republic, Coinchapter, Cryptopolitan, Cryptotale, Coinspeaker, and MPost. Known for his concise, data-driven reporting, Moses focuses on price analysis, on-chain metrics, and policy developments shaping the global digital asset landscape.
