Bitcoin News Today: Whale Nets $200M as $19B in Crypto Positions Liquidate

The cryptocurrency market experienced its most severe sell-off in history on October 10–11, 2025, as U.S. President Donald Trump's threat of 100% tariffs on Chinese imports triggered a global risk-off selloff. According to data from CoinGlass, over $19.1 billion in leveraged crypto positions were liquidated within 24 hours, with $16.7 billion attributed to long positions Coindesk^[1]. This surpassed previous record liquidations, such as the $1.6 billion during the 2022 FTX collapse and the $1.2 billion during the 2020 COVID-19 market crash Coindesk^[1].

Bitcoin (BTC) plummeted from a peak above $125,000 to briefly dip below $102,000, stabilizing at around $111,500 by midday October 11 Coindesk^[1]. Ethereum (ETH) fell over 18%, dropping from $4,300 to $3,373 before partially recovering to $3,780 Cnn^[4]. Altcoins faced even sharper declines: Solana (SOL) dropped 20%, XRP fell 33%, and Dogecoin (DOGE) lost 21% Cnn^[4]. The total crypto market cap shrank to $3.74 trillion, erasing $560 billion in value in a single day Coindesk^[1].

The sell-off was driven by macroeconomic uncertainty and leveraged trading. Analysts noted that excessive leverage amplified the crash's severity, with cascading liquidations accelerating price declines. "The market's sensitivity to Trump's tariff threat exposed vulnerabilities in leveraged positions," said Edul Patel, CEO of Mudrex Cnn^[4]. CoinGlass highlighted that Binance's delayed reporting likely undercounted liquidations, as it logs only one order per second Coindesk^[1].

A notable anomaly emerged in stablecoins. Ethena's USDe briefly deviated from its $1 peg to $0.9996, reflecting stress in derivatives markets Coindesk^[1]. Meanwhile, a whale on Hyperliquid profited $190–200 million by shorting BTC and ETH just before the crash, raising speculation about insider knowledge Cnn^[4].

The geopolitical context deepened concerns. Trump's announcement followed China's export restrictions on rare earth minerals, reigniting fears of a trade war. Global stock indices, including the Nasdaq and S&P 500, fell 3–3.6% . Analysts warned of potential contagion risks in technology and semiconductor sectors, critical to blockchain infrastructure .

Post-crash analysis remains divided. Some view the event as a necessary correction, with key support levels holding for Bitcoin and Ethereum. "Leverage has been flushed out, and institutional buyers may see this as a buying opportunity," noted a strategist Cnn^[4]. Others caution prolonged volatility if trade tensions escalate. The U.S. government shutdown further delayed economic data, compounding uncertainty Coindesk^[1].