Crypto Market Plunges $150 Billion as China Strikes Back at U.S. Tariffs

​Crypto’s Weekend Meltdown
The crypto market just took another massive hit. In a weekend rout that wiped out over $150 billion in value, digital assets slid sharply after China retaliated against new U.S. trade measures. Bitcoin fell nearly 4% to around $111,500, while Ether sank 7.5% below $4,000, deepening losses from the prior week’s selloff. Smaller, more volatile tokens plunged even harder, signaling a broad investor retreat from riskier corners of the market.

China Hits Back, Traders Panic
The selloff came as Beijing imposed restrictions on U.S. units of Hanwha Ocean Co., a major South Korean shipbuilder, in response to Washington’s latest actions targeting China’s shipping industry. The move followed President Donald Trump’s threat of even tougher tariffs tied to China’s new export controls — a warning that sent global markets reeling. Roughly $19 billion in leveraged crypto positions were liquidated in the chaos, one of the largest single waves of forced selling this year.

A Nervous Rebound That Didn’t Last
Although crypto briefly rebounded Monday, the relief rally quickly fizzled. Investors pulled $756 million from U.S.-listed Bitcoin and Ether ETFs, according to exchange data, reflecting a rapid flight to safety. Analysts described the moment as a “reset” for digital assets — a shift from euphoric speculation to cautious consolidation.

What’s Next for Crypto
Market watchers say traders are entering a “hesitation phase,” defined by selective risk-taking and smaller positions as sentiment cools. While some see the selloff as a healthy correction after months of overheated gains, others fear renewed geopolitical tension could keep prices under pressure.

​For now, crypto’s comeback story is on pause — and investors are learning that in today’s markets, political headlines can move digital assets just as fast as they move stocks.