In about ten breathless minutes on October 10, the crypto market flipped from euphoria to chaos. After the White House threatened 100% tariffs on Chinese imports amid rare-earths tensions, prices cascaded and around $19 billion in leveraged bets were liquidated within 24 hours. It was the largest single-day wipeout on record. Bitcoin printed lows near $102,000 on some exchanges before stabilizing in the low $110,000s. Sui (SUI), which had a scheduled 44 million token unlock, flash-crashed about 87% before rebounding.

Analysts say macro shock collided with extreme leverage. Bitcoin fell from $122,000 into a deep wick. Ethereum dropped into the high $3,000s. Solana touched the $174–$186 range. XRP fell toward $1.6 on some venues before recovering near $2.4–$2.5. Across exchanges, long traders took most of the damage. Hyperliquid alone recorded about $1.23 billion in losses, with over 1,000 addresses fully liquidated.

Was it macro or manipulation?

On-chain data showed large short positions opened shortly before the tariff headlines, fueling theories of liquidation hunting. At least one whale sized up major short positions ahead of the news, but whether that was sharp trading or something coordinated remains unproven.

The USDe shock

Ethena’s synthetic stablecoin USDe briefly depegged to around $0.65 on Binance before recovering. Ethena confirmed mint and redemption were still active. The event reignited risk discussions around yield-bearing stablecoins and derivatives-backed pegs.

BNB shows resilience

BNB held up stronger than most majors, staying above $1,100 and closing the next day down roughly 10%. Compared to double-digit declines across other altcoins, its performance stood out as relatively stable.

Market snapshot

• Total crypto market cap: around $3.8 trillion after the slide
• Bitcoin dominance: roughly 58% to 60%, depending on the data source

These levels confirm a clear rotation into Bitcoin as investors fled riskier altcoins.

Timeline (UTC)

Evening, Oct 10 – Tariff announcement hits. Risk assets wobble. Bitcoin begins accelerating lower.

Minutes later – Liquidations surge across derivatives platforms. SUI’s 44M token unlock compounds selling pressure.

Overnight – Bitcoin wicks to $102K on some venues. Total liquidations near $19B in 24 hours.

Morning, Oct 11 – Broad stabilization. Some altcoins stage partial recoveries.

Lessons for traders

Leverage turns macro headlines into forced-sell cascades. Always size positions modestly, monitor unlock schedules, and watch key support levels that attract stop runs. Market structure data and on-chain flow analysis matter more than ever when volatility spikes.