BTC, ETH, XRP Price Fluctuations Result in Equal Liquidation Pain: $450M on Both Sides

Tariff Turmoil Sends Crypto Markets Reeling as $450M in Positions Liquidated

The crypto market took a sharp turn overnight as escalating trade tensions led to a mass liquidation of positions totaling $450 million across digital asset derivatives platforms.

Bitcoin (BTC), ether (ETH), and XRP initially rallied midweek on investor hopes that the broader financial system would absorb President Trump’s latest tariff plans with minimal disruption. Those hopes were dashed after Trump unveiled sweeping reciprocal tariffs, including a 25% duty on auto imports and a 50% levy on certain Chinese goods.

Bitcoin briefly touched $87,000 before tumbling to $83,500 in Thursday’s early Asian trading hours. ETH and XRP followed suit, with prices sliding to $1,800 and $2.12, respectively. The declines erased nearly all gains made earlier in the week.

The sell-off triggered a rare phenomenon: nearly equal liquidations for both long and short traders. Futures tied to BTC saw over $172 million wiped out, while ETH futures accounted for $120 million. Smaller altcoins added roughly $50 million more to the total.

The equal distribution of losses reflects elevated market uncertainty, where neither bulls nor bears were able to establish a firm grip. Analysts say the sell-off was likely exacerbated by thin liquidity and algorithmic trading triggers during the Asia session.

Markets now await China’s response to the tariffs — a potential yuan devaluation or retaliatory duties — which could further unsettle global risk assets.

Despite the dip, some traders see opportunity. “This sort of whipsaw action tends to flush out leverage and reset the board,” one analyst said. “But until there’s clarity from Beijing, expect more volatility.”

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