Bitcoin and Ethereum Rebound After $19 Billion Crypto Wipeout
Bitcoin and Ethereum have staged a sharp recovery following last week’s massive sell-off that wiped out over $19 billion in leveraged positions — the largest single-day liquidation event the crypto market has ever seen.
As of early Monday, Bitcoin climbed nearly 3% in the past 24 hours to trade around $114,738, recovering from a dramatic plunge below $105,000 on Friday. Ethereum followed suit, rebounding 8.5% to $4,132 after briefly dipping near $3,500.
According to data from Coinglass, more than 1.6 million traders were liquidated on Friday, with the cascade of forced selling rippling across exchanges and altcoins alike.
Market observers attribute the crash to macroeconomic triggers rather than crypto-native issues. The sell-off began shortly after Beijing announced new export curbs on rare-earth materials, prompting Washington to respond with plans for a 100% tariff on Chinese tech imports. The timing — during a period of low weekend liquidity — amplified the severity of the liquidation wave.
Since then, the market has stabilized, helped by leverage resets and easing concerns about the U.S.–China tariff standoff. Prediction platforms like Polymarket now estimate only a 15% chance that the proposed tariffs will take effect by November 1, 2025, suggesting traders remain cautiously optimistic.
Despite the turmoil, the so-called “Uptober” trend — a term referring to Bitcoin’s historically strong October performance — appears to have survived. Liquidity is gradually returning, and risk appetite has improved as institutional flows into crypto ETFs continue to show resilience.
Traders are now closely watching key macroeconomic indicators, including the upcoming U.S. CPI report and the Federal Reserve’s next policy meeting, for clues about market direction.
On-chain metrics also show renewed whale accumulation, especially in Ethereum and select altcoins that were oversold during the crash. While some argue the historic wipeout may leave psychological scars, others see it as the final flush needed to reset the market for the next bullish phase.
As volatility cools and confidence rebuilds, “Uptober” might yet live up to its name — if Bitcoin’s rebound can hold above key support levels in the days ahead.