The crypto space faced one of its most unpredictable days on October 11, 2025, when the President of the United States, Donald Trump, imposed 100% tariffs on Chinese imports. The crypto market was hit hard, wiping out roughly $19 billion worth of leveraged positions and shaking investor confidence worldwide.
A History One-Day Loss
Bitcoin’s value fell from $125,000 to below $110,000, while Ethereum dropped to $3,778, dropping more than 12% in a single day. Trading volumes spiked as traders rushed to exit leveraged positions. Analysts labelled it as one of the fastest and steepest declines in crypto history, driven by high leverage and fear.
High-leverage traders were the first to be affected when the markets reacted to the tariffs imposed by Trump. Their positions were automatically liquidated, driving a chain reaction of forced selling. Over 1.6 million traders were wiped out, marking the largest one-day loss in the history of crypto trading.
How Did This Happen?
Unlike the stock market, crypto markets operate 24/7, meaning news spreads quickly and impacts prices instantly. When the tariffs were announced, both institutional traders and retail investors rushed to sell risky assets, triggering automated trading systems to liquidate billions within minutes.
Experts highlighted that the crash was worsened by excessive leverage. Some traders had borrowed up to 100x their holdings, making even a small price drop catastrophic. According to Coinglass data, $7 billion worth of crypto positions vanished within just one hour of trading.
How Did Experts React?
Market analysts described the event as a “black swan,” a rare market crash beyond statistical expectations. David Jeong, CEO of Tread.fi, stated that many institutions underestimated the volatility levels. “With highly leveraged futures trading, even big players got caught off guard,” he told Bloomberg.
Caroline Mauron, co-founder of Orbit Markets, specified that Bitcoin’s key support level lies at $100,000. “If that breaks, it could mark the end of the three-year bull cycle for crypto,” she warned.
How Will This Impact Investors?
The market is already showing early signs of stabilization. Experts remain optimistic, believing that it will recover despite recent turbulence. Bitcoin retains around 60% support, maintaining investor confidence even in volatile periods. Analysts advise cautious optimism, emphasizing careful risk management and measured investment strategies in the coming weeks.
Data Summary
| Metric | Details |
| Total Amount of Liquidations | $19-30 billion (largest in history) |
| No. of Traders Affected | Approximately 1.6 million |
| Drop in Bitcoin Price | From $125,000 to $111,000 (-8%) |
| Drop in Ethereum Price | From $4,300 to $3,778 (-12.7%) |
| Loss in Market Cap Value | Nearly $560 billion in 24 hours |
| Single-Hour Loss | $7 billion |
| Trading Volume Surge | $490 billion+ |
| Market Cap After Crash | $3.74 trillion |
Also read: Maharashtra CM Announces ₹50 Trillion Asset Tokenisation Framework
Beyond the Crypto Crash
The crypto market may have experienced one of its most turbulent days, but it also demonstrated remarkable resilience. Prices have stabilized somewhat, and many analysts view this as a much-needed correction after months of growth backed by excessive leverage.
For seasoned investors, this event should serve as a clear reminder that volatility is inherent in crypto trading and that managing risk is essential. The takeaway from October 11 is straightforward: stay informed, trade responsibly, and never invest more than you can afford to lose.
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