The weakness in the crypto market was already present on Friday.
Cryptocurrency prices plummeted after US President Donald Trump said he would impose an additional 100% tariff on China and export controls on software. According to data from Coinglass, traders saw more than $7 billion in positions liquidated in less than an hour.
Bitcoin initially fell more than 12 percent after Trump made the announcement via a post on his Truth Social platform. The largest token, which hit an all-time high of more than $125,000 earlier this week, was trading around $113,000 as of Friday evening in New York.
The weakness in the crypto market was already present on Friday. About $9 billion worth of bets on crypto assets have been wiped out in the past 24 hours, including $7.5 billion in long positions and $1.5 billion in shorts in the biggest liquidation wave since at least early April.
Smaller and less liquid tokens have been hit the hardest: XRP, memecoin favorite DOGE and Cardano’s ADA fell by around 19 percent, 27 percent and 25 percent respectively over the past 24 hours.
“A renewed trade war erupted between China and the US on Friday, causing uncertainty in markets and gripping risky assets,” said Ravi Doshi, co-head of markets at prime broker FalconX. The company’s derivatives unit saw excessive demand for downside protection throughout the day, Doshi said.
That flare-up in US-China rhetoric sent shockwaves across markets, putting pressure on stocks, oil and crypto, while fueling a search for the perceived safety of government bonds and gold.
More stories like this are available at bloomberg.com
Published on October 11, 2025
#Crypto #Slumps #Due #Trumps #Latest #Tariff #Threat #China