**$19B Wiped Out as Cryptocurrency Market Suffers Biggest Single-Day Crash in History**
*By Dwaipayan Roy | Oct 11, 2025 | 5:28 PM*
The cryptocurrency market has experienced its largest single-day wipeout ever, with over $19 billion liquidated amid a massive sell-off. This dramatic plunge was triggered by US President Donald Trump’s announcement of a 100% tariff on “any and all critical software” imports from China.
The unexpected tariff announcement sent shockwaves through digital asset markets, sparking widespread sell-offs and forced liquidations across major cryptocurrencies.
**Market Impact: Over 1.6 Million Traders Affected**
Data from Coinglass reveals that over 1.6 million traders were impacted within the past 24 hours. More than $7 billion worth of positions were liquidated in less than one hour of trading on Friday alone. Coinglass noted that the total liquidation figure could be even higher, as exchanges do not always report such data in real-time.
**Tariff Implications and Broader Concerns**
President Trump’s tariff announcement came in response to China’s recent export restrictions on rare earth minerals, essential components for global manufacturing and technology sectors. The US government labeled China’s move as “extraordinarily aggressive.”
Brian Strugats, head trader at Multicoin Capital, highlighted that the market’s focus is now shifting toward counterparty exposure and whether this shock could trigger a wider contagion across financial markets. Some estimates suggest that total liquidations might surpass $30 billion.
**Cryptocurrency Performance: Major Losses for Bitcoin and Ethereum**
In the last 24 hours, Bitcoin and Ethereum suffered significant price declines. Bitcoin dropped 7.6%, trading at $112,394.31, while Ethereum fell over 13%, reaching $3,793, according to CoinMarketCap data.
Bitcoin faced heavy liquidations amounting to approximately $9.5 billion after failing to maintain its support near the $120,000 level. Other leading cryptocurrencies followed suit in the widespread sell-off sparked by the tariff news.
**Investment Perspective: A Chance for Long-Term Investors**
Edul Patel, CEO of Mudrex, sees the current market downturn as a buying opportunity for long-term investors. Despite short-term selling pressure, he believes the overall sentiment remains bullish.
“These declines could be used to gradually build long-term positions, especially in fundamentally strong assets like Bitcoin and Ethereum,” Patel advised.
As the cryptocurrency market navigates this volatile period, investors are encouraged to consider the strong fundamentals of major digital assets amid the broader geopolitical developments.
https://www.newsbytesapp.com/news/business/why-cryptocurrency-market-is-seeing-a-wipeout/story
