The crypto market plunged sharply today just as billions of dollars were wiped out within hours. Bitcoin fell from $122,000 to $102,000, while Ethereum and major altcoins dropped 10–25%. This wasn’t a random fall, it was a chain reaction triggered by global politics, leveraged trades, and shifting investor sentiment...
The first blow came from U.S. China trade tensions. President Trump’s announcement of 100% tariffs on Chinese tech imports sent global markets into panic. Stocks, commodities, and especially crypto fell as investors rushed to safer assets. Bitcoin, often seen as a hedge, moved in sync with equities proving how intertwined it’s become with traditional markets.
Then came the liquidation wave. As prices dipped, over $3.3 billion in leveraged long positions were force-sold across major exchanges, deepening the crash. In today’s high-leverage environment, even a small move can snowball into massive losses.
Adding fuel to the fire, the U.S. dollar strengthened and bond yields rose, drawing capital away from risk assets. Institutional inflows into Bitcoin ETFs cooled, while retail traders rushed to lock profits. The result thin liquidity and panic selling.