#CreatorPad š August 1ā3 Market Crash ā What Really Happened?
Between AugustāÆ1 and 3, global marketsāincluding cryptoāsaw a sharp downturn as investors reacted to a mix of macroeconomic and geopolitical shocks. The crypto market cap dropped by over 7%, with Bitcoin sliding to around $115K and Ethereum falling below $3.7K. Altcoins like Dogecoin and Solana faced even steeper losses.
The sell-off was triggered by Trumpās unexpected tariff announcements, renewed fears of high U.S. interest rates, and weaker economic data. These factors drove a ārisk-offā mood across markets. The panic was amplified by over $900āÆmillion in crypto liquidations, wiping out leveraged positions and accelerating the decline.
Technical factors also played a roleāBitcoin had recently peaked near $123K, and many traders locked in profits as key support levels broke.
While volatility remains high, experts suggest this drop may present opportunities for long-term investors who believe in blockchainās fundamentals. As always, staying informed and avoiding panic-driven decisions is crucial.
The crash highlights how global policies, economic signals, and market psychology are now deeply interconnectedāand how crypto is no longer immune to traditional market pressures.