Is The Bull Market Over? Crypto Prices Crash As Donald Trump Announces New China Tariffs

The crypto market just witnessed its largest liquidation event in history after U.S. President Donald Trump reignited a trade war with China.

According to data from CoinGlass, nearly $20 billion worth of leveraged positions, mostly longs, were wiped out in the past 24 hours as major crypto assets formed massive downside wicks across the board.

Meanwhile, the total crypto market cap fell by nearly $850 billion before climbing back up to the $3.72 trillion mark. 

The Bitcoin price plunged 15% from its daily open, trading as low as $104,500 before bouncing back to $112,500 at press time. 

However, altcoins are faring significantly worse, with prices momentarily crashing by as much as 80%. In fact, the TOTAL3 market cap, which tracks the crypto market cap without BTC and ETH, just put a new cycle low against Bitcoin. 

Despite the Covid-esque flash crash, prominent analysts don’t believe that the crypto bull market is over just yet. In fact, several altcoins have reclaimed key support levels, indicating the possibility of a bullish reversal in the coming days. 

Why Are Crypto Prices Crashing?

The trade war is back, triggering the largest crypto wipeout in history, eclipsing the Luna collapse, COVID-era panic selling, and even the FTX bankruptcy.

In a long-winded post on Truth Social, US President Donald Trump has accused Beijing of taking an “extraordinarily hostile” stance on trade. 

According to Trump, China has sent letters to governments worldwide announcing sweeping export controls on nearly every product it manufactures, including rare earths, magnets, and critical industrial elements, and even on goods not made within its borders. 

The move, effective November 1, 2025, would restrict the global supply chain for vital components critical to key American industries. 

In response, Trump said the United States will impose a 100 % tariff on all Chinese imports starting the same day, alongside American export controls on critical software, calling China’s actions a “moral disgrace” and “monopoly play.” 

The fact that Trump’s post specifically hinted at pain in the short-term and unwillingness to meet with Chinese President Xi Jinping resulted in a sharp sell-off. 

Global markets immediately sold off as traders priced in renewed supply shocks and a collapse in trade relations. The S&P 500 dropped nearly 3%, falling by more than $1.5 trillion in value, while the Nasdaq fell over 3.5 %, the biggest single-day market loss since April.

Crypto assets fared much worse, witnessing the most catastrophic liquidation event in the market’s history. Analysts are speculating on the reasons for the crash, with some claiming that a major market maker or exchange might have been liquidated and become insolvent. 

Is The Crypto Bull Market Over?

Despite the crypto market crash, top analysts remain confident that the bull market isn’t over. In particular, macroeconomic analysts are bullish on risk assets. 

For instance, top crypto thought leader Colin rightly points out that the Trump tariff-induced corrections have always turned out to be excellent buying opportunities. 

In fact, Trump appears to have already walked back on part of his threats, revealing that he might meet with China’s Xi. 

Meanwhile, the US Federal Reserve is ready to cut interest rates twice more this year. Similarly, US Treasury Secretary Scott Bessent claims that his department is ready with “extreme measures” to stabilize the market. 

It appears that the latest crypto market crash is the dip that every sidelined investor was waiting for before a bullish reversal. 

Best Cryptos To Buy On The Dip

The crypto bull market isn’t done just yet, and smart money investors are looking to buy the dip. 

In particular, Bitcoin’s relative strength has stunned even the maxis. After initially falling to $104,500, BTC is back to trading near $113,000. Experts remain confident that the largest cryptocurrency will hit $150,000 by year-end. 

BTC-themed altcoins are also in high demand. Whales continue to stack Bitcoin Hyper (HYPER), which has now surpassed the $23 million milestone in its ongoing presale. 

Some of its biggest recent buys include $500k, $310k and $275k from separate whale wallets. 

Being the newest BTC layer-2 coin, experts believe it has high upside potential, with many eyeing up to 100x returns. 

Meanwhile, prominent analyst and Into The Cryptoverse’s Benjamin Cowen projects that the Ethereum price has bottomed out at its bull market support band, and is now poised for a new all-time high. 

Similarly, legendary trader Bluntz is impressed with XRP’s structure despite the market crash. With the altcoin continuing to hold above $2.30, it remains an attractive buy. 

Ethereum meme coins could also see a strong bullish reversal, especially if ETH shows bullish strength. Even low-cap tokens like Pepenode (PEPENODE) are in high demand, having already raised nearly $2 million in its presale. 

Thanks to its mine-to-earn ecosystem, attractive and diverse rewards and sound fundamentals, many are calling it the next 10x crypto.