{"id":1522,"date":"2025-05-30T14:12:59","date_gmt":"2025-05-30T14:12:59","guid":{"rendered":"https:\/\/bitunikey.com\/news\/why-did-the-crypto-market-crash-triggering-a-140-surge-in-liquidations\/"},"modified":"2025-05-30T14:13:00","modified_gmt":"2025-05-30T14:13:00","slug":"why-did-the-crypto-market-crash-triggering-a-140-surge-in-liquidations","status":"publish","type":"post","link":"https:\/\/bitunikey.com\/news\/why-did-the-crypto-market-crash-triggering-a-140-surge-in-liquidations\/","title":{"rendered":"Why did the crypto market crash triggering a 140% surge in liquidations?"},"content":{"rendered":"
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The crypto market crash continued on Friday as profit-taking accelerated and concerns about trade and the Federal Reserve deepened.<\/p>\n

Bitcoin (BTC) price dropped to $105,500, down from the all-time high of $111,900 last week. The other top laggards were altcoins like PancakeSwap (CAKE), Raydium (RAY), Ethena (ENA), and Arbitrum (ARB), which dropped by over 10%.<\/p>\n

The crypto market crash triggered a wave of liquidations. CoinGlass data shows that 24-hour liquidations jumped by 125% to $709 million. Almost 224,000 traders were liquidated, with the largest loss amounting to nearly $13 million.<\/p>\n

Cryptocurrencies retreated as Bitcoin lost momentum following its strong rally that pushed it to its all-time high last week. It is common for Bitcoin\u2019s price to pull back slightly after hitting a record high or a crucial milestone.<\/p>\n

<\/p>\n

When Bitcoin sneezes, altcoins catch a cold. This explains why many altcoins have crashed even harder.<\/p>\n

Second, Bitcoin and altcoins have declined in anticipation of June, which is typically the second-worst month for the crypto market after September. On average, Bitcoin returns -0.35% in June, as many investors take time off at the start of the summer season.<\/p>\n

Third, there are lingering concerns about trade after a court ruled that Trump\u2019s tariffs were illegal. Another court allowed these tariffs to continue as the administration appeals, a process that will take it to the Supreme Court.<\/p>\n

Finally, there are signs that the Federal Reserve will hold interest rates steady at 4.50% for a while. Minutes released this week showed that officials are comfortable with a wait-and-see approach as they assess the impact of tariffs on inflation.<\/p>\n

Is this crypto market crash the end of the bull run?<\/h2>\n

Technicals and fundamentals suggest that the crypto bull run has a long way to go. As crypto.news wrote here, <\/strong>the ongoing Bitcoin price action is part of the formation of the handle section of the cup and handle pattern. It is also forming a bullish flag pattern, which could result in a strong breakout and an altcoin market rally.<\/p>\n

<\/source><\/p>\n<\/picture>
Bitcoin price chart | Source: crypto.news<\/figcaption><\/figure>\n

The other sign that the bull market is not over is Bitcoin\u2019s supply and demand dynamics. Demand continues to rise, with ETFs bringing in over $45 billion in inflows and more companies adding it to their treasuries.<\/p>\n

The supply on exchanges has dropped from 3.5 million in 2020 to 1.35 million. Therefore, this supply and demand dynamic suggests the coin will bounce back.<\/p>\n

<\/p><\/div>\n","protected":false},"excerpt":{"rendered":"

The crypto market crash continued on Friday as profit-taking accelerated and concerns about trade and the Federal Reserve deepened. Bitcoin (BTC) price dropped to $105,500, down from the all-time high…<\/p>\n","protected":false},"author":1,"featured_media":1523,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-1522","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-cryptocurrency"],"_links":{"self":[{"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/posts\/1522","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/comments?post=1522"}],"version-history":[{"count":1,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/posts\/1522\/revisions"}],"predecessor-version":[{"id":1524,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/posts\/1522\/revisions\/1524"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/media\/1523"}],"wp:attachment":[{"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/media?parent=1522"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/categories?post=1522"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/tags?post=1522"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}