03.02.2025 10:33
After the new tariffs imposed by U.S. President Donald Trump, Bitcoin experienced a drop of $10,000 in a single day, and the crypto market lost $400 billion. This situation led to the liquidation of over 700,000 traders.
As geopolitical uncertainties increased following the statements of the President of the United States over the weekend, Bitcoin and altcoins suffered significant losses. Bitcoin dropped by $10,000 in a single day, while the total cryptocurrency market value decreased by over $400 billion, and more than 700,000 traders were liquidated.
Major Turmoil in the Crypto Market: Billions of Dollars Vaporized
The statements made by President Trump over the weekend heightened global geopolitical uncertainties, leading to sharp declines in the cryptocurrency markets. The continuously traded digital asset markets were severely affected by these developments.
The leading cryptocurrency, Bitcoin, lost around $10,000 in a day, falling to as low as $91,500 on various exchanges. This decline was not limited to Bitcoin alone but spread to all other cryptocurrencies, resulting in billions of dollars in capital loss in the market.
The sharp decline in the markets began after President Trump announced an increase in tariffs on China, Canada, and Mexico, and those countries announced they would retaliate. These developments caused Bitcoin to experience a rapid loss of value.
The downward trend in Bitcoin continued throughout Sunday, with prices hovering around the $97,000-$98,000 range. However, on Monday morning, when the Asian markets opened, the price fell to $91,500, the lowest level seen since January 13. This decline indicates that the leading cryptocurrency lost over $10,000 in value within 24 hours. Since the peak level of $106,000 recorded on Friday, the total loss has reached $15,000.
The losses experienced by alternative cryptocurrencies reached even more dramatic levels. While Solana experienced a relatively limited decline of 8%, other leading digital assets recorded double-digit losses. Ethereum lost 20%, XRP 23%, BNB 15%, Dogecoin 24%, Cardano 25%, Chainlink 21%, Avalanche 24%, and Stellar 20%. As a result of these sharp declines, the total cryptocurrency market value decreased by over $400 billion.
According to CoinGlass data, more than 700,000 investors had their positions liquidated during the wave of declines. The total value of these liquidation transactions exceeded $2.2 billion on a daily basis. The largest liquidation occurred in the ETH/BTC pair, which fell to its lowest level in recent years, reaching over $25 million in size.