Bitcoin surged again on Monday, climbing above $115,000 after the market experienced the largest single day liquidation in cryptocurrency history, which wiped out nearly $19 billion in positions following a fresh escalation in U.S. China trade tensions.
The world’s largest cryptocurrency rose 3.1% to reach $115,107.60. Bitcoin had plunged to a low of $103,893.3 on Friday after trading above $122,000 earlier that same day, having previously hit an all-time high above $126,000 the prior week.
The selloff was triggered by comments from U.S. President Donald Trump, who announced plans to impose tariffs of up to 100% on Chinese goods, along with tighter export restrictions on key technologies. These moves sparked a broad selloff in digital assets, rattling global markets and driving investors out of risk-sensitive assets, resulting in a wave of forced liquidations across highly leveraged crypto positions.
Within 24 hours, over $19 billion in long positions were liquidated across major exchanges the largest one-day liquidation event ever recorded, according to data providers. More than 1.6 million trading accounts were wiped out as cascading stop loss triggers and margin calls accelerated the downturn.
Exchanges such as Binance, Bybit, and Hyperliquid logged some of their highest-ever daily liquidation volumes, while other major cryptocurrencies also suffered steep declines mirroring Bitcoin’s plunge.
Beijing responded to Trump’s tariff threats by asserting that it was “not afraid” of a trade war, vowing to implement countermeasures if necessary.
However, Trump softened his tone over the weekend, urging markets to “not worry about China,” and clarifying that he was not planning any immediate escalation, which helped ease sentiment somewhat though traders remained cautious amid lingering policy uncertainty.
The dramatic swings over a single trading day underscored how sensitive the cryptocurrency market has become to macroeconomic and geopolitical developments, after years of being seen as detached from traditional markets. Bitcoin and other digital assets now increasingly behave like high risk assets, reacting swiftly to global shocks and capital flows.
Meanwhile, most altcoins rebounded on Monday after the heavy selloff. Ethereum jumped 9% to $4,167.36 after briefly dipping below $4,000 over the weekend. XRP gained 8.5% to $2.59, Solana rose 7.7%, Cardano added 9%, and Polygon advanced 5.7%, signaling a partial recovery in the broader crypto market.
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