One year after a $19B liquidation cascade triggered by US-China trade tensions, Bitcoin remains 34% below its $122k peak, currently trading at ~$82-83k with lingering volatility risks.
Macro & Markets ·
One year ago this month, escalating US-China trade tensions ignited a liquidation cascade that wiped out over $19 billion in leveraged positions within 24 hours. On October 10, 2025, Bitcoin plunged from around $122,000 to as low as $101,000, catching more than 1.6 million traders off-guard in what was recorded as the worst single-day liquidation event in crypto's 16-year history. The collapse proved especially severe because it struck just 48–72 hours after Bitcoin had reached a fresh all-time high above $126,000.
The aftermath extended well beyond October. Bitcoin descended further into a prolonged downturn, hitting $58,000 by July of this year—a 53% retreat from the peak. Currently trading near $82,000–$83,000, it remains approximately 34% below the 2025 high. Recent price action has continued to show turbulence, with Bitcoin dipping from $87,000 to $80,400 in the past week before recovering to current levels, signaling that volatility pressures persist.
The situation presents mixed signals. Some technical indicators have recently entered bullish territory, yet the market has not fully stabilized—last week alone saw over $1 billion in leveraged positions liquidated in a single day, suggesting traders have not materially changed their risk management practices despite the cautionary lesson of October 10.