A Donald Trump publication caused the price of BTC to lose the USD 110,000 brand.
The leverage increases the margins of gain, but it is also high risk.
Today, May 23, 2025, the price of Bitcoin had a rapid fall that surprised Alcistas Traders who failed to close positions on time.
BTC went from $ 111,300 to $ 107,700 on average, all in minutes. Then Bitcoin recovered and quote over 108,800 dollars at the close of this report, as can be seen in the following graph of TrainingView:
This movement triggered a wave of automatic closures of leverage positions throughout the cryptocurrency market, reflecting the fragility of these strategies in a context of high economic uncertainty.
Bitcoin’s price drop It is attributed to a new episode in the tariff war promoted by President Donald Trump. A publication of his on social networks, where he recommended a 50% tariff for the European Union, generated fears in global markets, as cryptooticies reported.
This statement intensified uncertainty, not only affecting traditional markets, but also the cryptocurrency ecosystem.
Bitcoin, who had recently reached a historical maximum above the USD 110,000, found in this brand A technical resistance that could not sustain after the impact of the news.
Mass settlements, that the USD 300 million reached According to Coinglass data, they mainly affected traders with long positions (Longs), who expected the price of Bitcoin to continue its promotion. These positions, built with leverage, amplify both profits and losses.
As the cryptopedic cryptopedia explains, leverage allows investors to operate with borrowed capital, increasing their exposure to the market. However, if the price moves against, the losses multiply, And the platforms automatically close positions When available funds do not cover margin requirements.
This graph offered by Coinglass shows the liquidations that have been given in the Bitcoin market and cryptocurrencies in recent hours:
The exchange platforms, such as Binance, Bybit and OKX, registered a significant volume of liquidations, which reached 10 million dollars in the last houras can be seen in the real time data of Coinglass. The speed of the fall, which led Bitcoin to lose about 3% of its value in a few hours, left little room for maneuver for those who tried to adjust their positions.
Despite this correction, the market shows signs of resilience. Bitcoin has historically demonstrated A remarkable recovery capacity After significant falls. Analysts such as Willy Woo indicate that the current Alcista Rally could carry the price of the currency to USD 118,000, driven by the enthusiasm of large investors, retailers and institutions.
This optimism is based on market dynamics, where the entry of institutional capital and increasing adoption They have strengthened Bitcoin’s narrative as a shelter asset in times of economic instability.
Even with correction, feeling in the market does not seem completely bassist. The entry of new participants, including institutional funds, has strengthened confidence in Bitcoin in the long term.
