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14/10/25 03:39 UTC-04

Cryptocurrency crash continues amid new round of trade war tensions

Cryptocurrencies continue to fall following an unprecedented wave of liquidations that triggered aggressive selling over the weekend, Bloomberg reports.

Bitcoin earlier on Tuesday dropped below $112,000 and was trading slightly above that level at the time of writing, down nearly 3%. During the Friday sell-off, the coin fell to $104,920 for the first time since June.

Ether declined by more than 4%, testing the $4,000 mark.

The drop occurred amid China imposing restrictions on the U.S. units of Hanwha Ocean Co., one of South Korea’s largest shipbuilders, in response to U.S. measures against the Chinese shipping sector.

Earlier, around $19 billion in crypto margin positions were liquidated during the sharp sell-off that began on October 10, after Trump threatened China with stricter tariffs in response to new export restrictions.

On Monday, digital asset markets temporarily rebounded, cutting losses, but most major tokens resumed their decline.

The weekend sell-off served as a powerful “reset” for the crypto market. Investors withdrew $756 million from U.S. Bitcoin and Ethereum ETFs on Monday, highlighting market participants’ nervousness.

“The market is now entering a consolidation phase, characterized by caution, selective risk-taking, and a more measured restoration of confidence in both the spot and derivatives markets,” Glassnode stated.

See also: "XRP price forms bullish pattern — a potential 37% rally ahead"

#Crypto Market #Price drop

Editor: Yulia Krasnaya
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