$1.3 Trillion Crypto Crash as Bitcoin Falls Below $75K

Bitcoin and other cryptocurrency prices have dropped sharply after an instant decline in stock prices as Donald Trump announced global tariffs that led to a crypto market crash today. This impact can be a long-term issue for the entire market.

Bitcoin falls under the price of $75,000, which is more than 11% lower than its highest price of nearly $90k last week. Other altcoins, like Ethereum (ETH), XRP (XRP), and Solana (SOL), have fallen even further. Since January, the total value lost in the crypto market has reached $1.3 trillion.

A fear of US recession has been a key factor of why cryptocurrencies and other financial markets are facing losses. The total value of the global crypto market dropped by 11% in the last 24 hours, bringing it down to $2.37 trillion. This is the first time since early November 2024 that the market value has been below $2.4 trillion.

However, total trading volume in the crypto market surged to $130 billion over the past day. This increase shows that traders are either trying to make a profit in the middle of the panic situation or closing positions to minimize their losses. The market downturn led to more than $1.37 billion in liquidations in the last 24 hours. 

Most of these liquidations were from long positions, while the others were from short positions. 450,000+ traders were liquidated in the matter of hours. This is the largest single liquidation order that took place on Bitfinex and was valued at $16.3 million in BTC.

A growing fear of the global economy is one of the main reasons why Bitcoin recently dropped in value. These concerns increased when President Trump announced new tariffs that leads to another tension of a global trade war. Becauser these implementations, investors quickly sold off risky assets that led to the dramatic fall in price of Bitcoin. 

In less than a day, long positions worth over $200 million were lost, showing how quickly market sentiment can change. Bitcoin is now influenced not just by technical factors, but also by global economic news. Its price had been around $75,000 to $80,000, but global financial worries caused it to drop.

The Bitcoin (BTC) price prediction changing like a traditional tech stock, reacting to news, policy changes, and global issues. In 2025, it will no longer be seen as a safe investment. Investors are doubting Bitcoin's reliability in an unstable economy. 

Without clear support from the crypto industry or signs that central banks will change their policies, Bitcoin faces a tough situation. It may have a hard time recovering until the overall market improves, even though its fundamentals are strong.

Global market disruptions caused by fears of the worst economic situations and a US recession have negatively impacted cryptocurrencies. Bitcoin and Ethereum dropped by as much as 14%. Other major cryptocurrencies, such as Solana and Ripple, also saw declines. Let’s see how the recent crypto crash has impacted these top-performing altcoins: 

In the last 24 hours, the price of Ethereum (ETH) fell 20% and is trading around $1,466. Ethereum is the second-largest cryptocurrency after Bitcoin and is valued at about $176 billion. The recent crypto market crash caused a big increase in ETH sell orders on various exchanges, mainly Binance and Bybit. As a result, close to $400 million was liquidated from the Ethereum (ETH), which mainly affected long-term traders.

The active number of crypto addresses on the Solana network fell to a 6-month low, with over 4.44 million addresses using the platform. While this is down from January’s highest of 9 million addresses, it suggests that investors may be waiting for a recovery.

Even after the price drop, Solana’s devoted investors continue to hold their investments. This is good for the SOL as it could help prevent further declines in price. Many Solana investors are anticipating a rebound based on the network’s history of recovering after the crash.

XRP has the 4th-largest market cap in the entire market. It has lost over 25% price in the past 30 days. Today, (April 7, 2025),  XRP is priced at $1.67, which is the lowest price since Nov 2024.

The market cap for XRP has dropped by 17% to $102.5 billion. However, trading volumes remain high because of the huge selling activity, currently at $7.65 billion, an increase of 261%. On Sunday, XRP's price dropped by 10.4%, followed by an additional 12.3% drop on Monday.

In the past 24 hours, traders lost $968 million on bullish crypto bets. This includes $321 million for Bitcoin and $269 million for Ether, showing the extent of market panic. For XRP, the liquidation amount is smaller compared to Ethereum and Bitcoin, which is $47 million.

U.S. stock futures dropped sharply in the evening as Trump continued with plans to impose tariffs. Stocks fell sharply on Thursday and Friday after President Trump announced broad tariffs on U.S. trading partners. 

The Trump administration believes that these measures will help bring back competition and manufacturing jobs to the USA. However, worries are rising among economists and investors about how quickly these policies will take effect. They also fear that other countries, like China, might retaliate, which could lead the economy into a recession.

Federal Reserve Chair Jerome Powell spoke on Friday and said the newly announced tariffs were higher than expected. He warned that they could lead to rising inflation and slower economic growth. Powell stated that the Fed will wait for more evidence of the impact of policies by Trump before deciding on changes to interest rates.

An analyst said that trillions of dollars have been taken out of the stock market. However, predicts that much of this money will move into Bitcoin, creating a possible opportunity for the entire cryptocurrency market.

Another analyst discussed worries about a repeat pattern of the 2008 financial crisis. He emphasized that this is very rare in today's market. Instead, he predicts a recovery similar to the quick bounce back after the 2020 crash.

BlockDAG ($BDAG) is experiencing huge success during its ongoing presale. It has already raised over $202 million. The BlockDAG project offers speed and scalability that compete with top crypto projects like Bitcoin, because of its use of Directed Acyclic Graph technology and Proof-of-Work mechanism. 

Early investors are enjoying returns of about 2,380% since the beginning of the presale. Expert analysts predict that the token could rise another 20,000 times following its official launch.

The BDAG token is attracting a huge number of potential investors because of its partnership with football club Inter Milan and the upcoming final testnet and mainnet launches. Another key factor boosting the project is the expected launch on top 10 centralized exchanges, which could greatly increase liquidity. Some experts believe a price of $1 by the end of 2025.

Additionally, the X1 Crypto Miner App has helped build a strong community, with 500K plus downloads. New buyers can also get a 400% bonus when they purchase the token. The project aims to raise $600 million, so investors should keep an eye on it.