The cryptocurrency market experienced the biggest shock in history: over the past 24 hours, traders’ positions worth more than $19 billion were liquidated, including $7 billion during just one hour of trading on Friday. The sharp drop in prices began after US President Donald Trump’s announcement of a 100% tariff on China and other software export restrictions. Bloomberg writes about this.
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The largest liquidation in the history of the cryptocurrency market
According to Coinglass data, the liquidation affected more than 1.6 million traders worldwide. After Trump’s announcement, Bitcoin fell more than 12% — from a record $125,000 at the beginning of the week to $113,000 on Saturday morning.
Binance recorded a record number of liquidation orders — an average of one order per second. Experts estimate that total losses could reach $30 billion.
“The focus is now on counterparty risks — the question is whether this decline will lead to a more widespread market contagion,” noted Multicoin Capital chief trader Brian Strugats.
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Another critical level – $100,000
According to Caroline Moron, co-founder of Orbit Markets, the support level for Bitcoin is now at $100,000. Breaking through this level, she says, “could signal the end of a three-year bull cycle.”
On the Deribit exchange, the highest number of put options are currently at $110,000 and $100,000, indicating expectations of a further decline.
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The stock market also suffered
Cryptocurrencies have long since ceased to move independently of the stock market.
The S&P 500 fell 2.7% (its worst day since April), the Dow Jones lost 1.9%, and the Nasdaq fell 3.6%. In one day, the US stock market lost $1.56 trillion in capitalization.
Bitcoin’s correlation with the S&P 500 is now 0.86, with the NASDAQ — 0.75. These are the maximum values for 2025. Cryptocurrencies are moving in sync with stocks.
The Magnificent Seven (Apple, Amazon, Tesla, Nvidia, and other tech giants) fell 3.8%. Nvidia lost 5% in one day.
“The resumption of the trade war between China and the US has caused uncertainty and a decline in risky assets,” noted Ravi Doshi, co-chair of markets at brokerage firm FalconX.
How to interpret liquidation data
Liquidation data remains an important benchmark for assessing market sentiment and risk levels. A sharp increase in liquidations indicates widespread forced position closing and often coincides with key trend reversals. Such swings show how aggressively the market has been leveraged and how quickly positions can be wiped out in high volatility.
Therefore, the total volume of liquidations is not just a loss statistic, but an important signal of market overheating or, conversely, market cleansing. It helps analysts and traders understand the depth of the correction, assess the stability of the current trend, and predict a possible recovery.
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