Bitcoin News Today: Post-Crash Crypto Resilience: Whales and Institutions Lead Market Reset

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Monday, Oct 13, 2025 1:49 am ET2min read
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- Trump's 100% China import tariff triggered a $19B crypto liquidation, with Bitcoin and altcoins like Solana/Dogecoin plummeting amid leveraged market chaos.

- Crypto whales swiftly pivoted strategies: securing $200M+ profits from rebounds, reopening massive leveraged longs, and accumulating at lower prices post-crash.

- Institutions like MARA Holdings added $46M in Bitcoin during the turmoil, while derivatives trading surged as traders hedged or exploited volatility.

- Analysts view the crash as a "reset" purging excessive leverage, with Bitcoin above its 200-day MA and Ethereum stabilizing, suggesting temporary correction rather than bear market.

The cryptocurrency market experienced unprecedented volatility following U.S. President Donald Trump's announcement of a 100% tariff on Chinese imports, triggering a record $19 billion in liquidations within 24 hours. Crypto whales, however, demonstrated swift adaptability, leveraging the turmoil to adjust positions, secure profits, and reaccumulate assets.

On-chain data reveals that large investors capitalized on the market crash and subsequent rebound. A notable whale deposited 1 million USDCUSDC-- into Hyperliquid, opening a 20x long position on 125.7 BitcoinBTC-- (worth $14.3 million) as prices recovered. Another whale liquidated 90% of their Bitcoin short and exited EthereumETH-- shorts, securing an estimated $190–$200 million in profit within a single day. Hypurrscan data indicates this trader has since reentered the market with a $161 million short position on 1,423 BTC, currently holding an unrealized profit of $3 million BeInCrypto[1].

Conversely, some whales faced significant losses before pivoting strategies. A trader linked to wallet 0xb9fe was fully liquidated during the initial sell-off, losing $2 million, but quickly reentered with a 25x long position on 18,960 ETH ($72.7 million). By the time ETH rebounded above $4,000, this position had turned a $3.6 million profit BeInCrypto[1]. Meanwhile, a long-dormant Bitcoin whale, known as the "Bitcoin OG," deposited 300 BTC ($33.47 million) to Binance, marking their first Bitcoin sale in 13 years BeInCrypto[1].

The market crash also saw institutional investors and corporate treasuries act decisively. MARA Holdings, which holds 52,850 BTC ($6.12 billion), purchased an additional 400 BTC ($46.31 million) through FalconX within hours of the crash BeInCrypto[1]. Such moves underscore confidence in Bitcoin's long-term resilience despite short-term turbulence.

Derivatives trading surged as traders sought to hedge or exploit volatility. A trader identified as Machi opened leveraged long positions on Bitcoin (40x), Ethereum (25x), and HYPE (10x), while another whale, linked to 1kx Network's Christopher Heymann, reopened a 10x leveraged long on ENAENA-- after a previous $4.22 million liquidation BeInCrypto[1].

The crash exposed systemic risks in leveraged markets. Over 1.6 million traders were liquidated, with altcoins like SolanaSOL-- (SOL), XRPXRP--, and DogecoinDOGE-- (DOGE) suffering steep declines. Solana's price dropped nearly 18%, while DOGEDOGE-- fell 24%, erasing weeks of gains. However, blockchain analytics suggest that the liquidation event acted as a "reset," purging excessive leverage and potentially stabilizing the market for future growth Forbes[2].

Analysts note that the crash was driven by a combination of macroeconomic fears, overleveraged positions, and algorithmic trading feedback loops. Ravi Doshi, co-head of markets at FalconX, described the tariff announcement as the "ignition" for a market already stretched by bullish momentum Forbes[2]. Brian Strugats of Multicoin Capital argued the purge could lead to a healthier bull run, provided geopolitical tensions ease and institutional flows continue Forbes[2].

In the aftermath, crypto whales and institutional players appear to be accumulating at lower price levels. ChainlinkLINK-- (LINK) and UniswapUNI-- (UNI) saw increased whale holdings, with large investors adding 0.76 million LINK ($13.7 million) and 0.66 million UNIUNI-- ($4 million), respectively . Dogecoin, despite a 23% drop, attracted $156 million in whale accumulation, signaling speculative confidence in its meme-driven resilience .

The market's technical indicators suggest cautious optimism. Bitcoin remains above its 200-day moving average, and Ethereum has stabilized above key support levels. While volatility persists, the absence of structural damage to core infrastructure-such as stablecoin pegs and DeFi protocols-suggests the crash may be a temporary correction rather than a bear market catalyst .

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