The crypto market continues to experience a drop after President Donald Trump announced a 100% tariffs on imports out of China. This would take effect beginning from November 1, 2025. The move is a response to Beijing’s aggressive export restrictions. However, it has triggered widespread selling across digital assets and deepened market losses.
In a statement posted on social media, Trump said China had taken an “extraordinarily hostile” stance on trade by sending a global letter outlining new export controls. He explained that the measures would affect nearly every product the country produces and even some it does not. Trump called the decision “unheard of in international trade” and “a moral disgrace” in dealings between nations.
Trump confirmed that the United States would retaliate by imposing a 100% tariff on Chinese goods and would apply export controls on critical software. The measures will take effect on November 1, 2025.
Bitcoin price had already reacted to Trump’s earlier tariff warnings, reflecting growing investor anxiety. The confirmation of the threat affected the crypto market. Bitcoin, Ethereum, and Solana all recorded further drops in prices.
Meanwhile, the U.S. president indicated they could begin the new tariff plan earlier if China escalates its actions. “Starting November 1, the United States will impose a 100% tariff on China, over and above any existing tariffs,” Trump wrote.
According to data from Coinglass at the time of writing, nearly $7 billion worth of crypto positions were liquidated in just one hour. The majority of these liquidations (roughly $5.67 billion) came from long positions.
This indicated that most crypto market traders were betting on price increases before the sudden crash. Short positions accounted for about $1.3 billion in liquidations. This showed widespread volatility across both sides of the crypto market. Recently, retaliatory tariffs by Canada concerning U.S. goods sparked a temporary crypto market rebound. This highlights how global trade tensions often influence market sentiment.
The extreme liquidation spike is one of the biggest, hourly wipe in the history of the crypto market. A heavy exchange traffic also followed. Top exchanges, such as Binance, started noticing system stress as the level of trading increased dramatically. Binance claimed that its systems were heavily burdened, which will result in some delays and display bugs. However, it assured users that “funds are SAFU.”
Due to heavy market activity, our systems are under high load. Some users may experience intermittent delays or display issues.
We’re actively monitoring the situation and working to resolve it. Funds are SAFU.
Thank you for your patience!
— Binance (@binance) October 10, 2025
According to TradingView data, prices fell sharply across all major cryptocurrencies. Bitcoin price momentarily dropped to approximately $109,897 and afterwards rebounded above $110,000 whereas
Ethereum price fell more than 11% to trade below $3,900. Solana, BNB and XRP were also hard hit as traders hurried to liquidate their positions in the face of sharp changes in price.
