Bitcoin Crashes to $102K as Trump Imposes 100% Tariffs on China
Bitcoin plunged to $102,000 on Binance on Friday after U.S. President Donald Trump announced sweeping 100% tariffs on Chinese imports, reigniting fears of a global trade war and triggering a massive crypto sell-off across markets.
- Trump announces 100% tariffs on China amid rare earth export dispute.
- Bitcoin crashes to $102,000 on Binance futures — lowest since June.
- Over $9.4 billion in crypto positions liquidated in 24 hours.
- Ether drops 12% and Solana falls 14% amid market-wide panic.
- Analysts say global 2x leverage on altcoins wiped out.
- Crypto market cap plunges 11.8% to $3.64 trillion.
The crypto market faced its steepest drop in months after President Donald Trump announced a 100% tariff on all Chinese imports, citing Beijing’s plans to impose export controls on rare earth minerals crucial for global chip manufacturing.
Trump revealed the move via Truth Social, stating:
“China has taken an extraordinarily aggressive position on trade… effective November 1, 2025, they will impose large-scale export controls on virtually every product they make.”
The announcement immediately sent shockwaves through both traditional and crypto markets. Bitcoin (BTC) plummeted below $110,000, before briefly touching $102,000 on Binance’s perpetual futures — a level unseen since late June, when BTC momentarily dipped below $100K. On Coinbase, Bitcoin spot prices bottomed out at $107,000, marking a 3-month low.
Data from CoinGlass showed a staggering $9.4 billion in total liquidations within 24 hours, with over $7.15 billion coming from leveraged long positions — suggesting a widespread unwinding of bullish bets. The BTC/USDT futures market experienced extreme volatility as traders scrambled to exit positions, while smaller altcoins suffered even steeper declines.
Ether (ETH) dropped to $3,500 and Solana (SOL) fell below $140 on Binance, reflecting double-digit percentage losses. According to Hyblock Capital, the sharp correction erased “global 2x leverage on most altcoins,” effectively resetting speculative positions across the market.
The sell-off was further fueled by concerns that China’s restrictions on rare earth elements — materials critical for AI systems, semiconductor production, and crypto mining equipment — could worsen global supply chain disruptions. Meanwhile, the U.S. tariffs mark a renewed escalation in the U.S.-China tech and trade rivalry, echoing tensions from the 2018 tariff war.
By the end of the day, the global crypto market capitalization stood at $3.64 trillion, down nearly 12% in just 24 hours. Analysts warned that further volatility could follow as markets digest the potential macroeconomic ripple effects of Trump’s tariff policy.
Final Thought
The sudden plunge highlights how macro geopolitical shocks continue to shape Bitcoin’s market cycles. As trade tensions flare between the U.S. and China, traders are bracing for heightened volatility — not just in crypto, but across the broader risk asset landscape.
