Crypto Liquidations Hit $1 Billion
The crypto market is taking a hit as multiple factors clashes: Trump’s 25% tariff on Mexico and Canada, hacking incidents and clearing of major exchanges such as Bybit. Despite the reduced liquidity, the influx of new coins and inflationary pressures has only increased the downward trend.
Investors have become more cautious after Trump announced a 25% tariff on Canada and Mexico and a 20% increase in tariffs from China.
The cryptocurrency market has experienced significant volatility following the announcement of Trump’s crypto reserves. Although the price initially increased, these gains quickly disappeared as questions arose about its executions and necessary regulatory approvals. In addition, news of Trump’s announcement of tariffs added additional uncertainty, which led to a larger sell-off.
Crypto clearing crosses $1 billion
Cryptocurrency clearing has soared to more than $1.09 billion, with BTC alone accounting for more than $400 million. The crypto market faces its biggest sell-off in 2025, losing $460 billion in just 24 hours. According to Kobeissi’s letter, this corresponds to an average hourly loss of about $19.1 billion over the past 24 hours.
Bitcoin lost its weekend gains as investors reacted to the upcoming U.S. tariffs and is now trading between $82,000 and $85,000. Market volatility is likely to continue, especially as these tariffs take effect later today. Bitcoin fell 9.8% to $83,725.
Mudrex’s chief technology officer and co-founder Alankar Saxena warned investors to be cautious because volatility could continue if BTC drops to $81,000. However, if market sentiment improves, there is room for recovery, with resistance of $92,000.
Arthur Hayes says BTC can drop to $70,000
Arthur Hayes, former CEO of BITMEX, expressed optimism about Bitcoin’s current bull market and insisted that cryptocurrencies are working to continue to grow. However, he also warned that in the worst case, the price of Bitcoin could drop to around $70,000, consistent with the all-time highs in the previous cycle.
Altcoins are harder to hit
Altcoins has taken a bigger hit over the past 24 hours, with Ethereum dropping to $2,000 and heading towards its worst first-quarter performance ever. Ethereum fell 15% to $2,083. A brief surge of more than $2,500 after Trump’s crypto reserve announcement, Ethereum has now collapsed to $2,050, eliminating all weekend gains.
Over the past 24 hours, global cryptocurrency market capitalization has dropped by 10.5% to $2.76 trillion. Other AltCoins also suffered significant losses, with Cardano down 25%, Solana down 19%, Dogecoin down 16%, and XRP down 18%. However, crypto analysts advise investors to stay calm and avoid panic sales.
