Crypto Liquidations Hit $870M as EU-US Tariff Tensions Send BTC Lower
The crypto market saw roughly $870 million in liquidations over 24 hours after renewed EU–US trade tensions. Bitcoin led the sell-off, sliding about 2.6% to roughly $92.5K, triggering broad long liquidations—CoinGlass reported $788 million of the total were long liquidations. On-chain data cited by analysts showed large coordinated selling: insiders sold 22,918 BTC and major platforms/entities — Coinbase (2,417 BTC), Bybit (3,339 BTC), Binance (2,301 BTC) and Wintermute (4,191 BTC) — contributed to over $4 billion of BTC moved/sold in a short window. The sell-off coincided with reports the EU is preparing retaliatory tariffs up to ~$100 billion in response to US tariff threats tied to President Trump’s Greenland-related actions. Market structure bill delays also weighed on sentiment. Risk assets weakened while safe havens like gold and silver rose to record/new highs. For traders: expect heightened volatility, increased liquidation risk for leveraged long positions, and potential short-term downside pressure on BTC and correlated altcoins. Monitor on-chain flows, exchange orderbooks and macro headlines (tariff developments, regulation timing) for short-term entry/exit signals.
Bearish
The article describes a large, coordinated sell-off and significant liquidations ($870M total; $788M longs) driven by macro political risk (EU preparing up to ~$100B in retaliatory tariffs) and negative regulatory/timing news (market structure bill delay). Large on-chain outflows and concentrated entity sales (insiders, exchanges, market-makers moving >$4B BTC) increase supply pressure and reduce market depth, elevating short-term downside risk. Historically, major geopolitical shocks and coordinated whale selling lead to sharp, concentrated drawdowns and amplified volatility (e.g., March 2020 COVID crash, 2022 macro-driven sell-offs). Short-term impacts: higher volatility, elevated liquidation cascades, and bearish price action for BTC and correlated altcoins. Trading strategies should prioritize risk reduction — tighten stops, reduce leveraged long exposure, consider short or hedge positions, and watch order books and on-chain flows for exhaustion signals. Long-term impact depends on whether the trade escalation persists; persistent tariff-driven economic weakness could prolong risk-asset underperformance, while a quick de-escalation or renewed institutional demand could restore bullish momentum. Therefore the immediate outlook is bearish, but medium-to-long-term direction will hinge on macro developments and regulatory clarity.