Reports indicate a significant shift in the crypto market following a liquidation event in October, triggered by macro events. Bitcoin experienced a notable drawdown from its October 6 peak, leading to reduced market confidence. The shift, according to CryptoSlate, is marked by decreased leverage, thinner liquidity, and weaker ETF bids. A major liquidation event, reportedly sparked by tariff announcements, resulted in over $19 billion in liquidated positions. This "Great De-Leveraging," as termed by Coin Metrics, led to a rush for downside hedges in options markets. Liquidity reportedly vanished, with exchanges like Binance, Crypto.com, and Kraken showing a lack of buy orders near the mid price, exacerbating price drops.

Reports indicate a significant shift in the crypto market following a liquidation event in October, triggered by macro events. Bitcoin experienced a notable drawdown from its October 6 peak, leading to reduced market confidence. The shift, according to CryptoSlate, is marked by decreased leverage, thinner liquidity, and weaker ETF bids. A major liquidation event, reportedly sparked by tariff announcements, resulted in over $19 billion in liquidated positions. This "Great De-Leveraging," as termed by Coin Metrics, led to a rush for downside hedges in options markets. Liquidity reportedly vanished, with exchanges like Binance, Crypto.com, and Kraken showing a lack of buy orders near the mid price, exacerbating price drops.