The cryptocurrency market is facing tough times with U.S. tariffs and mass liquidations leading to significant losses. Let's explore the current trends.
Crypto Liquidations Cross $1 Billion
Crypto liquidations soared past $1.09 billion in 24 hours, with Bitcoin alone accounting for $400 million. The market crash erased $460 billion in total value, an average loss of $19.1 billion per hour, according to *The Kobeissi Letter*. This marks the most significant sell-off of 2025 so far.
Bitcoin Dips as Market Volatility Grows
Bitcoin is fluctuating between $82,000 and $85,000 as investors react to new tariffs. The leading cryptocurrency dropped 9.8% to $83,725, and with tariffs taking effect, more price swings are expected. Alankar Saxena warns that if Bitcoin falls below $81,000, further declines could follow, but there's a chance for recovery to $92,000 if sentiment improves. Arthur Hayes remains bullish on long-term Bitcoin growth but cautions that the price could dip to $70,000 in a worst-case scenario.
Altcoins Hit Harder
Altcoins have suffered steeper losses in the last 24 hours. Ethereum fell 15% to $2,083, marking one of its worst quarterly performances. After a brief surge above $2,500 following Trump's crypto reserve announcement, it dropped back to $2,050, erasing recent gains. Despite the downturn, analysts advise staying calm and avoiding panic selling.
Volatility is nothing new in the crypto market, but global economic factors are intensifying the situation this time. Despite current challenges, the market often recovers after severe declines.
