A brutal crypto market reversal is in process after a mad sell-off that erased billions of altcoin value. Friday saw several altcoins momentarily hit zero on Binance as Bitcoin and Ethereum also crashed hard. Now markets are stabilizing, investors want to see indications of turnabout.
What Caused the Crypto Crash
The flash crash started following the U.S. President Trump’s declaration of 100% tariffs on Chinese imports that rattled global markets. Bitcoin fell below $110,000 and Ethereum fell close to 7%. Over $20 billion in crypto positions were liquidated in 24 hours.
Lowest affected were smaller-cap tokens. Most altcoins fell 70%–95% in minutes and fell to zero as a result of waterfall liquidations and poor liquidity.
Binance Altcoins Hit Worst
The crash was overstated on Binance, where algorithmic selling and margin calls saw immediate sell-offs. Some altcoins “crashed to zero” on Binance but were still worth something elsewhere, exposing weaknesses in centralized exchange infrastructure.
These discrepancies created outrage among users, leading some of them to call for refunds. Binance acknowledged that token prices on spot pairs were subject to “market behavior” rather than technical glitch.
Signs of a Crypto Market Rebound
Despite the dip, large coins are standing strong. Bitcoin and Ethereum have stabilized themselves, driving cautious optimism. Veteran trader Peter Brandt reaffirmed his long-term forecast. He believes Bitcoin’s current cycle may be peaking shortly, according to historical patterns.
Brandt’s reassurance dispelled the jitters, although he did acknowledge short-term market volatility. “Bitcoin always recovers stronger,” he said.
The bounce remains uneven. Leading crypto coins are bouncing faster, with lower-quality altcoins struggling to gain traction. Nevertheless, with money returning, traders are eyeing potential points of entry.
