Catenaa, Saturday, October 18, 2025- The cryptocurrency market shed more than $500 billion after President Donald Trump announced a 100% tariff on imports from China, triggering a sell-off that wiped out over 10% of total market value and sparked record liquidations.
With traditional markets closed over the weekend, crypto traders saw liquidations surge to $10 billion, potentially nearing $40 billion in total, marking one of the largest in the market’s history.
Analysts warned the event highlighted the dangers of high leverage in thinly liquid markets nearing a cycle top.
Bitcoin briefly approached $100,000 before stabilizing near $114,400, while Ethereum recovered to around $4,100.
Several altcoins regained losses, and the Fear & Greed Index dropped to its lowest level since April, suggesting potential buying opportunities. Analysts cautioned that volatility may continue until the Federal Reserve’s scheduled rate cut at the end of October.
Experts noted that while the crash removed excess leverage and reset risk temporarily, geopolitical tensions, tariffs, and thin liquidity continue to pose challenges.
Long-term optimism remains as institutional inflows and on-chain supply constraints support crypto’s role as an alternative asset class amid global uncertainties.
