Important Changes and Trends 1. Sharp fall after the shock of the trade policy Bitcoin fell to ~$104,782 after U.S.–China tensions escalated, with new tariffs and export controls rattling markets.
Ethereum dropped ~5.8% in tandem with broader market weakness.
One of the largest-ever liquidations of leveraged long positions, totaling approximately $16 billion, occurred on the market. According to some reports, crypto market liquidation totaled $19 billion. This kind of forced selling tends to exacerbate down moves and delay recovery cycles.
---
2. ETF Momentum and Flows from Institutions Crypto ETFs saw record inflows of $5.95 billion in the week ending October 4 despite the selloff. Bitcoin ETFs in the U.S. led the inflows, showing institutional appetite.
This suggests that while retail/leveraged participants are getting shaken out, bigger investors may be using dips to enter or increase exposure.
---
3. Macro & Policy Spillovers
The majority of the geopolitical factors that led to the crash were export control policies from the United States and 100 percent tariffs on Chinese imports. In India, the tax department is looking into offshore crypto holdings and gains that have not been disclosed, adding to the growing regulatory pressure. Meanwhile, major banks are exploring issuing stablecoins pegged to G7 currencies, potentially reshaping how crypto and banking interact.
---
4. Looking Ahead: Recovery or Continued Volatility?
Given the magnitude of the liquidation, analysts anticipate a prolonged bottoming process rather than a sharp V-shaped rebound. Whether geopolitical tensions decrease or increase will determine the path forward. Recovery could be delayed if aggressive policy moves are continued. Some see this as an opportunity for long-term players to accumulate, particularly if there are further dips and regulatory clarity improves. ---
If you like, I can pull up live charts over the past 24–48 hours and also track a few altcoins (SOL, XRP, etc.) for you. Do you require that I send those?
