Bitcoin News Today: Crypto's Crossroads: Cyclical Dip or Ominous Downturn?

The crypto market is bracing for another round of turbulence after President Donald Trump's threat to impose 100% tariffs on Chinese imports triggered a $500 billion crash on October 10, 2025Analysts warn of another crypto market crash today^[1]. Bitcoin (BTC) plummeted from $122,000 to $105,000 within hours, while altcoins like SUI and Solana (SOL) faced steep corrections. Though the market has partially rebounded-BTC trading above $114,500 and the total crypto cap rising to $3.8 trillion-analysts warn the worst may not be over.

A prominent crypto analyst, @Prosperous_w_ on X, predicted a "big dump" on October 13, forecasting further declines for BTC and altcoins. They emphasized that most altcoins are still above their "absolute bottom" and will face additional corrections, including a 42% drop for SUI. The analyst also dismissed claims of a bear market cycle, arguing the market is now driven by liquidity and business cycles extending into 2026Analysts warn of another crypto market crash today^[1].

Technical indicators underscore the fragile recovery. Bitcoin's ADX (Average Directional Index) crossed the 25 threshold, confirming a trend but with weak momentum (ADX at 25.76). The RSI (Relative Strength Index) at 46.48 suggests a neutral-to-bearish outlook, lacking the aggressive buying typically seen after major selloffsFollowing Flash Crash, Where Do Bitcoin, Ethereum and Solana^[2]. Solana, meanwhile, faces conflicting signals: weak ADX readings (22.82) and a RSI of 43.48, indicating selling pressure outweighs buying interestFollowing Flash Crash, Where Do Bitcoin, Ethereum and Solana^[2].

The crash exposed systemic vulnerabilities in crypto's infrastructure. Wrapped tokens like wBETH on Binance diverged sharply from their underlying assets, with wBETH hitting $430 while ETH traded above $3,800. Binance has since pledged to compensate affected usersRecovery After $500B Crash Sets Stage for Q4 Rebound: Crypto^[3]. Market structure issues, including derivative exchanges liquidating users and stablecoin dislocations, have drawn scrutiny. Stuart Connolly of Deus X Capital noted the event forced a "reset," but cautioned that a Trump administration softening on tariffs could still drive a Q4 reboundRecovery After $500B Crash Sets Stage for Q4 Rebound: Crypto^[3].

Macroeconomic headwinds complicate the outlook. JPMorgan revised its U.S. GDP forecast to -0.3% for 2025, citing tariffs as a key riskCrypto Market Crash Prediction: Robert Kiyosaki, JP Morgan^[4]. Robert Kiyosaki, referencing his 2013 book Rich Dad's Prophecy, warned that the crash predicted for February 2025 is now materializing. Bitcoin fell to $83,820, Ethereum ($ETH) to $1,820, and XRP to $2.14, with $211 million in liquidations reported in 24 hoursCrypto Market Crash Prediction: Robert Kiyosaki, JP Morgan^[4].

Amid the chaos, some analysts detect bullish signals. Institutional adoption, including George Soros and the Rockefeller family entering the market, and regulatory clarity in countries like the U.S., have fueled a $100 billion surge in market capWhat's Behind The Sudden Crypto Market Bullishness?^[5]. However, volatility persists. Bitcoin's correlation with equities has strengthened since 2020, with rolling correlations to the S&P 500 and Nasdaq-100 hitting 0.5. This shift reflects crypto's growing integration into traditional portfolios and sensitivity to macroeconomic conditionsWhy Bitcoin's Relationship with Equities Has Changed^[6].

The market's next move hinges on liquidity and sentiment. @Prosperous_w_ revealed a trading strategy involving heavy accumulation at current prices and leveraged positions (5x–25x), with profits locked in BitcoinAnalysts warn of another crypto market crash today^[1]. Meanwhile, insider trading allegations have surfaced after an anonymous trader reportedly netted $200 million by shorting BTC and ETH just before Trump's tariff announcementcrypto crash news: Traders cry insider trading after Trump’s tariff ...^[7].

As the dust settles, the crypto market faces a pivotal question: Is this a cyclical correction or the start of a deeper downturn? With leverage still prevalent, regulatory scrutiny intensifying, and geopolitical risks looming, the path forward remains fraught with uncertainty.

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