Crypto liquidations near $10 billion in historic drawdown following Trump's 100% tariffs on China

**Cryptocurrency Market Faces Massive $9.55 Billion Liquidation Event After Trump's China Tariff Announcement**

The cryptocurrency market experienced one of its most devastating liquidation events in history, with nearly $10 billion in open interest wiped out within 24 hours following former President Trump's proposal for 100% tariffs on China. According to CoinGlass data, exactly $9.55 billion in crypto positions were liquidated, marking a historic drawdown across Bitcoin, Ethereum, and major altcoins.

This massive liquidation cascade demonstrates the cryptocurrency market's sensitivity to geopolitical tensions and trade policy announcements. The sell-off triggered widespread margin calls across decentralized finance (DeFi) protocols and centralized exchanges, forcing traders to close leveraged positions at significant losses.

Bitcoin and other digital assets plummeted as investors fled risk assets amid escalating US-China trade tensions. The blockchain ecosystem faced unprecedented stress as automated liquidation mechanisms activated across lending platforms and futures markets.

This billion-dollar liquidation event underscores cryptocurrency's continued correlation with traditional risk assets during major geopolitical events, despite Bitcoin's reputation as digital gold and inflation hedge.