Bitcoin, Ethereum crash as US-China trade tensions escalate
On Friday, the crypto market took a sharp dive, losing $128 billion in just four hours.
Big names like Bitcoin, Ethereum, and XRP all dropped fast, reminding many of past crashes like FTX and TerraUSD/Luna back in 2022.
Forced sell-offs and global tensions add to the chaos
This sudden drop highlights just how unpredictable and delicate crypto can be. Both everyday traders and big investors felt the impact.
With forced sell-offs and global tensions adding to the chaos, it's a reminder to manage your risk carefully and keep an eye on world news if you're in the market.
Main triggers behind the crash
The main triggers were rising geopolitical tensions—especially new US-China trade disputes.
News of a 100% tariff on Chinese tech exports spooked markets, sparking a rush to sell risky assets worldwide.
Too much leverage and thin trading also made things worse, exposing some real weaknesses in how exchanges handle risk.