Crypto Markets Plunge $300B as US-China Trade War Sparks $1B in Liquidations
The cryptocurrency market is in turmoil as escalating trade tensions between the US and China trigger a massive sell-off, wiping out $300 billion in value and sparking nearly $1 billion in liquidations within 24 hours. Bitcoin (BTC) and Ethereum (ETH) led the downturn, with BTC dropping 9% to $83,300 and ETH plunging 11% to $2,000. The global crypto market cap fell 9% to $2.76 trillion, raising fears of further instability.
Major Cryptocurrencies Hit Hard
· Bitcoin (BTC): Dropped 9% to $83,300, liquidating $370 million in long positions.
· Ethereum (ETH): Fell 11% to $2,000, with $190 million in liquidations.
· Altcoins: BNB (-5%), SOL (-15%), XRP (-12%), DOGE (-15%), and Cardano (-18% to $0.8135).
Liquidations Across Exchanges
The majority of liquidations occurred on Binance, OKX, HTX, Bybit, and BitMEX. Bitfinex recorded the largest single liquidation at $13 million.
Impact of US-China Trade War
The downturn coincided with President Trump’s new 25% tariffs on imports from Canada, Mexico, and China, triggering a global sell-off. China retaliated with 10-15% tariffs on US goods, reigniting fears of a full-blown trade war .
Future Outlook
Analysts remain cautiously optimistic, suggesting the downturn may be short-lived. However, concerns persist over rising inflation and economic uncertainty.
