Main cryptocurrencies rebounded on Monday after a weekend rout worn out billions in leveraged positions, as US President Donald Trump sought to calm market jitters over escalating commerce tensions with China.
Bitcoin climbed 4.5% to $115,459, whereas Ether jumped 11.3% to $4,161. BNB surged practically 1% to $1,304 and XRP gained 10% to $2.56.
The rebound adopted conciliatory remarks from Trump and Vice President JD Vance on Sunday, signaling openness to a commerce compromise with Beijing.
Trump struck a softer tone, calling President Xi Jinping “extremely revered” and saying the US needed to “assist” relatively than “harm” China, regardless of friction over uncommon earth exports and looming tariff will increase.
Leverage Unwind Wiped Out Almost $20B in Crypto Bets
Markets had been reeling since Friday, when Trump’s announcement of an additional 100% tariffs on Chinese language imports sparked a world sell-off.
The sharp decline hit late Saturday, when Bitcoin fell under $110,000 and Ethereum tumbled greater than 20% inside hours. As threat property slid, crypto merchants confronted mass liquidations amplified by skinny liquidity and automatic promoting throughout platforms corresponding to Binance, OKX and Bybit.
Additional, the Crypto Worry and Greed Index plummeted from 64, signaling “greed,” to 27, indicating “concern,” in beneath a day. Greater than 1.6m merchants have been liquidated, with whole losses surpassing $19.3b. Some estimates place the actual determine nearer to $30b, as sure exchanges solely report one liquidation order per second.
Crypto Worry and Greed Index crashed from 64 to 27 after Trump’s 100% tariff shock — over $19.33B liquidated and $1T erased from the market in three hours.
Extra crash forward?#Bitcoin #Ethereumhttps://t.co/ZPzP74ngrh— Cryptonews.com (@cryptonews) October 11, 2025
Fears of Escalating Commerce Warfare Cloud Outlook for International Progress, Threat Property Together with Crypto
The dimensions of the losses rivaled the Might 2021 crash, when extreme leverage equally fueled a speedy chain response of compelled promoting. Analysts stated this newest occasion mirrored the identical structural vulnerabilities in crypto markets of excessive leverage, restricted liquidity throughout off-hours and reflexive promoting pushed by algorithmic trades.
Greg Magadini, director of derivatives at Amberdata, stated the actual concern now lies in whether or not China retaliates. “The danger isn’t the tariffs themselves, it’s whether or not China responds with aggressive countermeasures,” he stated. “A full-scale commerce struggle between the world’s two largest economies would create substantial headwinds for world progress.”
He added that buying and selling patterns already point out traders are shifting towards safer positions, with indicators of pressure rising throughout a number of asset lessons. “Cryptocurrencies are beneath stress, and the flight to Treasuries displays real considerations about financial momentum,” Magadini stated.
For now, Trump’s remarks seem to have steadied sentiment. Crypto merchants welcomed the indicators of diplomatic outreach, at the same time as volatility stays elevated.
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