Bitcoin slides under $110K as Trump eyes China

Bitcoin’s trademark volatility returned with a vengeance after fresh geopolitical headlines reignited risk aversion across global markets.  Bitcoin slides under $110K. In a dramatic session, Bitcoin plunged below the psychologically pivotal $110,000 level as President Donald Trump threatened a “massive” escalation of tariffs on China, rattling equities, commodities, and crypto alike. Within hours, hundreds of millions of dollars in leveraged positions were liquidated, amplifying the cascade as automated margin calls swept across major derivatives venues. Reports from mainstream financial desks and crypto-native outlets converged on a common picture: tariff fear, dollar jitters, and a rush to de-risk sparked a swift slide that left traders scrambling to reassess near-term support and resistance.

In this in-depth update, we unpack what just happened, why it occurred, and what could come next. We’ll trace the timeline of the sell-off, examine the liquidation dynamics that accelerated the move, and analyze macro drivers—trade policy, rates, and liquidity—that set the stage. We’ll also map out key technical levels, explore how altcoins reacted compared with BTC, and outline scenarios for stabilization versus further downside. Bitcoin slides under $110K. Whether you’re a long-term holder or an active trader, understanding the interplay of policy shocks and crypto market structure is essential to navigating this episode.

The Flashpoint: Tariff Risk Returns to Center Stage

Trump’s tariff threat jolts global risk appetite.

On the eve of the sell-off, President Trump signaled he may impose a “massive increase” in tariffs on Chinese imports and cast doubt on an upcoming meeting with President Xi. Markets took the remarks as a concrete risk of renewed escalation in U.S.–China trade tensions. Equities sagged, Treasury yields fell, Bitcoin slides under $110K, and the risk-sensitive crypto complex reacted within minutes, underscoring how policy headlines can propagate through cross-asset flows at high speed in today’s liquidity environment.

Bitcoin’s slide below $110K

As the tariff rhetoric reverberated, Bitcoin extended losses through $110K, printing intraday lows around the mid-$100Ks on some venues. Bitcoin slides under $110K. The dip sliced through nearby supports that bulls had defended in recent weeks, inviting momentum sellers and stop runs. Wire services and crypto desks alike confirmed the breach, with price prints hovering near $104K–$109K during the heaviest portion of the move, depending on exchange and timestamp.

Liquidations: How a Macro Shock Became a Market Cascade

From spot pressure to derivatives dominoes

The initial spot selling—driven by macro traders hedging tariff risk and crypto-specific participants lightening exposure—quickly spilled into the perpetuals and futures markets. As prices knifed lower, leveraged longs faced margin calls. Forced unwinds add sell pressure, which pushes the price lower, triggering more liquidations in a feedback loop.  Bitcoin slides under $110K. This mechanical contagion is the hallmark of crypto flash moves, and it remains more pronounced in digital assets than in most legacy markets due to 24/7 trading, ample leverage, and global retail participation.

Was it really “$250M liquidated hourly”?

Yes, at points, intraday liquidation rates exceeded a quarter-billion dollars within an hour, according to crypto market trackers that monitor forced closes across major venues. While total 24-hour liquidations during similar drawdowns can run well above $1 billion, the per-hour spikes are the clearest sign of a cascade.  Bitcoin slides under $110K.  Recent data points include more than $250 million cleared in a single hour during a heavy sell wave, and separate windows where $250–$900 million flushed out across a broader 4–24-hour span depending on the day. The exact totals vary by methodology and time slice, but the order of magnitude—hundreds of millions in a short window—held consistent across reputable dashboards and reports.

Why liquidations cluster around round numbers

Round numbers like $110,000 concentrate stop-losses and liquidation thresholds because many traders anchor risk to significant figures. Bitcoin slides under $110K. When price slices through such levels on rising volume, liquidity thins, slippage increases, and liquidations snowball, order books become “gappy”, so even modest market sells can push price disproportionately, worsening the cascade. In crypto’s 24/7 structure, these feedback loops can run overnight in one region and overlap with the next session in another, producing multi-hour turbulence before market makers and longer-horizon buyers normalize the tape.

Macro Underpinnings: Why Trade Tensions Hit Bitcoin Now

Risk assets, the dollar, and policy uncertainty

Bitcoin’s dual identity—as digital gold and as a high-beta risk asset—means it can trade with a split personality. When policy shocks hit, short-term correlations to equities often strengthen as macro funds de-risk broad portfolios. Fresh tariff threats cloud growth expectations, complicate supply chains, and tighten financial conditions at the margin.  Bitcoin slides under $110K. That macro impulse spilled into crypto, contributing to the synchronized drawdowns across BTC, ETH, and large-cap altcoins during the session.

A fragile equilibrium before the shock

Heading into the headline, BTC had chopped in a narrowing range for days, with traders debating whether late-summer highs would be retested or whether a deeper mean reversion was due. Several outlets pointed to key supports near $107K–$112K and resistance in the $118K–$120K zone, framing a market poised for a directional break. Bitcoin slides under $110K, The tariff shock answered that question—at least for now—by tipping the scales toward the downside and unleashing a liquidation wave.

Market Internals: What the Tape Revealed

Altcoins underperform into liquidity vacuums.

During risk-off episodes, altcoins typically underperform BTC because they sit farther out on the risk curve with thinner books. Consistent with that pattern, majors like ETH, SOL, and XRP registered double-digit intraday drops at points in the move, exacerbated by cross-margin liquidations and panic exits from perpetual swaps. Bitcoin slides under $110K. Post-move tallies from market desks highlighted the breadth of the sell-off across the top-20 assets, aligning with macro-driven, system-wide de-risking rather than idiosyncratic token news.

Funding, open interest, and the reset effect

As prices sank, funding rates compressed or turned negative across several venues, while open interest declined —a typical “reset” after crowded positioning. Bitcoin slides under $110K. Such flushes can purge excessive leverage, leaving a leaner market that’s more responsive to supportive catalysts. We’ve seen this movie before: when positioning normalizes, rebounds can be sharp, especially if macro news flow stabilizes or reverses.

Technical Landscape: Levels That Matter Now

Immediate supports and resistance

With the $110K handle now contested, traders are watching whether $105K–$108K can harden into a near-term floor. A sustained reclaim of $110K–$113K would reduce the odds of a deeper slide and reopen the path to $118K–$120K, where supply capped prior rallies. Bitcoin slides under $110K. Conversely, failure to hold the mid-$100Ks increases the risk of a stop-run toward the low-$100Ks, an area that historically attracts dip-buying interest from longer-term holders. Independent desks and crypto media have repeatedly flagged these neighborhoods over recent weeks as tactical battlegrounds.

Signals to monitor

Beyond headline risk, watch spot-perp basis, funding, and open interest. If funding stays pinned negative while basis firms and open interest begin to rebuild on dips, that’s often a sign patient buyers are absorbing supply. Bitcoin slides under $110K, Conversely, fresh OI ramps with positive funding into resistance can set up another squeeze—either up or down—depending on the following macro headline.

Why Tariff Talk Hits Crypto Beyond Simple Correlations

Supply chains, inflation, and liquidity

Tariffs can tighten supply chains and stoke cost-push inflation, nudging central banks to stay vigilant even if growth cools. A more challenging inflation backdrop can lift real yields and pressure risk assets. Meanwhile, higher import taxes can strengthen near-term dollar demand as importers and exporters adjust hedges. Bitcoin slides under $110K. Crypto, priced in dollars and sensitive to global liquidity, quickly feels those ripples, especially when narrative uncertainty surges. Recent coverage linked tariff headlines with broad risk-off across stocks and crypto, underscoring the interconnectedness.

The narrative tug-of-war around Bitcoin

Bitcoin’s store-of-value narrative can reassert itself after the dust settles, particularly if the policy path implies longer-run currency debasement risks or speculation about capital controls abroad. But in the first moments of a shock, the liquidity-seeking impulse dominates: portfolios sell what they can, not just what they want.  Bitcoin slides under $110K. That’s why BTC, despite its digital gold moniker, can trade like a high-beta macro asset during the initial stress window before narrative buyers step back in.

The Data Debate: Reconciling Different Liquidation Totals

Why liquidation numbers don’t always match

You’ll see different liquidation figures—$250 million in an hour here, $900 million in a day there, and over $1.5 billion on another drawdown—depending on time windows, exchanges counted, and methodologies. Some trackers aggregate only major venues, others include a wider long tail. Timestamp boundaries also vary: an “hourly” tally can straddle the peak of the cascade or miss it by minutes. That’s why serious analysts cross-reference multiple sources rather than anchoring to a single headline number. Bitcoin slides under $110K.  Recent cycles highlighted $250M+ in an hour on sharp down-legs and $1B+ over 24 hours in heavier resets—consistent with the scale of this move.

What matters more than the exact dollar figure

The shape of the liquidation curve matters more than the precise total. A narrow spike suggests a forced selling climax, which can mark local turning points if spot demand is lurking. A flatter, prolonged bleed implies structural deleveraging, which can cap bounces until positioning is fully reset. Bitcoin slides under $110K. Tracing that curve alongside order-book depth and funding behavior provides a more unambiguous indication of whether capitulation is finishing or has more room to run.

How Professional Desks Respond

Hedging and inventory management

Market-making and prop desks reduce inventory into the teeth of a cascade, widen spreads, and tighten risk until volatility normalizes. Bitcoin slides under $110K. Many frame risk around round-number shelves like $110K and ladder bids beneath, matching client flow while monitoring basis for dislocations. If basis gaps—spot trading at a discount to futures—arbitrage demand can return quickly, helping stabilize price.

Institutional overlays: options, basis, and carry

Institutional flows increasingly rely on options overlays. Put spreads can monetize volatility surges, while short-dated calls can harvest rich implied vols after the panic.  Bitcoin slides under $110K. On the carry side, when funding swings negative while cash markets remain liquid, funds may scale into basis trades, effectively long spot / short perp, which dampens further downside if carried in size.

What Could Happen Next? Three Scenarios

Policy de-escalation and a quick rebound

If rhetoric cools or a clear timetable for talks emerges, macro stress may fade. With leverage partly washed out, Bitcoin can spring back toward $113K–$118K, where sellers last asserted control. A decisive reclaim of $120K would likely attract momentum buyers and reflate altcoins that were oversold during the flush.  Bitcoin slides under $110K. Recent market patterns show how positioning resets set the stage for sharp relief rallies once the catalyst abates.

Tariff escalation and renewed risk-off

If the administration shifts from threat to implementation—for example, by announcing 100% tariffs imminently—the next leg lower could probe the $102K–$105K supports. In that path, liquidations would likely flare again. Bitcoin slides under $110K, and the market will taper more quickly if open interest stays lean. News coverage emphasizing concrete tariff timetables has already shown the market’s sensitivity to these dates.

Range-bound churn as markets digest

The base case after a shock is often range-bound digestion. BTC could oscillate between mid-$100Ks support and $118K resistance, with headline risk dictating intraday bias.  Bitcoin slides under $110K. This path allows derivatives metrics to normalize, funding to hover near flat, and market depth to rebuild before the next trend.

Trading and Risk Notes for the Current Tape

Manage leverage ruthlessly

Leverage is gasoline in a tape like this. If you must use it, consider a smaller size, wider stops, and staggered entries to avoid clustering around obvious levels.  Bitcoin slides under $110K. Avoid chasing during peak liquidation heat unless your strategy explicitly targets illiquidity spikes.

Respect funding and basis

Negative funding alongside firming basis can be a constructive sign that spot buyers are stepping in. Bitcoin slides under $110K. The reverse—positive funding into resistance with OI climbing warns of a potential long squeeze if another headline hits.

Don’t over-optimize entries.

In macro-driven markets, perfection is the enemy of participation. Suppose you’re planning for the long term, scale rather than trying to knife-catch the exact wick. Bitcoin slides under $110K. If you’re short-term, allow for slippage and use limit orders where appropriate to avoid paying peak spreads.

Longer-Run Context: Bitcoin in an Uncertain Policy World

The structural bull case isn’t decided by one headline.

Even as traders absorb the tariff shock, Bitcoin’s multi-year story—institutional adoption, on-chain scarcity, expanding L2 rails, and integration with traditional finance—remains intact. But path dependency matters. Bitcoin slides under $110K. Policy-driven volatility can elongate consolidation phases, alter risk budgets, and tilt flows between BTC and other risk assets.

Diversification of narratives

In the medium term, diversified narratives—digital gold, programmable collateral, macro hedge—are features, not bugs. They allow different buyer cohorts to step in at different prices.  Bitcoin slides under $110K. When policy shocks subside, macro allocators reassess in the context of real yields, liquidity, and growth. Crypto’s reflexive structure means positioning can shift quickly once the dominant narrative flips back to scarcity and adoption.

Conclusion

Bitcoin’s break below $110K amid a renewed tariff threat from the White House is a textbook example of macro headlines colliding with leveraged market structure.  Bitcoin slides under $110K. The result: hundreds of millions in liquidations within hours, a scramble for liquidity, and a swift reset in positioning. Whether this proves a shakeout before recovery or the start of a deeper corrective leg hinges on policy follow-through, cross-asset risk appetite, and how quickly derivatives metrics normalize. For now, the playbook is simple: respect the levels, watch the liquidations, mind the funding and basis, and don’t let leverage manage you.

FAQs

Q: Did Bitcoin really drop below $110,000 because of Trump’s comments?

Multiple outlets reported Bitcoin falling through $110K as President Trump threatened a “massive” tariff increase on China, a headline that triggered broader risk-off across markets. While correlation isn’t causation, the timing and cross-asset reactions strongly suggest the tariff threat sparked the move.

Q: How much was actually liquidated during the crash?

Estimates vary by time window and data source. Credible trackers and reports pointed to more than $250 million liquidated within an hour at peak, and $ 1 billion plus over 24 hours on similar drawdowns. The important takeaway is the magnitude and speed of forced unwinds, not a single precise figure.

Q: What key levels should traders watch now?

The $105K–$108K zone is a near-term support area. A reclaim of $110K–$113K would reduce downside risk and open a path to $118K–$120K—a region of prior supply. Failure to hold support increases the likelihood of tests being in the low-$100Ks.

Q: Why do altcoins often fall more than Bitcoin during these events?

Altcoins tend to have thinner liquidity and higher beta. During forced selling, cross-margin liquidations in perpetuals hit alts hardest, producing larger percentage drawdowns than BTC.

Q: Could this sell-off become a buying opportunity?

Possibly. If tariff rhetoric cools and derivatives metrics reset—negative funding easing, open interest rebuilding responsibly—BTC can snap back quickly. Patience and sizing discipline are crucial; catching the trend reversal matters more than nailing the exact wick.

See More: Bitcoin Price News October Breakout Odds Low