Can Bitcoin and Ethereum Recover Following a $19B Liquidation Surge?
A crypto asset downturn driven by economic unrest erased $19.37 billion in leveraged positions within just 24 hours. Now that the tumult has subsided and the outcomes are apparent, let’s examine the current status of the two leading cryptocurrencies.
Before that, it’s important to note that on October 10, 2025, U.S. President Trump declared a trade war against China in reaction to China limiting the export of rare earth minerals.
(Source: CoinGecko)
He stated, “Given that China has taken this extraordinary stance, and I speak solely for the U.S.A., without including other nations faced with similar threats, commencing November 1st, 2025 (or earlier, depending on further actions or adjustments from China), the United States will enforce a 100% Tariff on China, in addition to any Tariff they are presently paying.”
lol WHAT DID CHINA THINK TRUMP WOULD DO?!?!
100% tariffs stacking on the existing ones. pic.twitter.com/gcPhIbl4C5
— China Uncensored (@ChinaUncensored) October 10, 2025
Moreover, he revealed export controls on crucial software, fueling speculation about an all-out tariff war between the two nations, which resulted in a crash of the crypto asset crypto market.
Bitcoin
0.82%
Bitcoin
BTC
Price
$111,593.88
0.82% /24h
Volume in 24h
$60.13B
Price 7d
fell to $107,468 on Friday but managed to recover and close at $114,559, which is still a nearly 6% decrease for the day. The price action experienced a slight resurgence, reaching around $110,000 once again, but then dipped by 1.82% on Saturday, ultimately finishing at $112,69.
At present, BTC is trading below its 50-day EMA but remains above the 200 EMA, indicating a pessimistic short-term outlook while the long-term optimistic sentiment remains intact.
Source: TradingView
If it surpasses $115,000, it will bring its 50-day EMA into focus. If it successfully holds above that mark, BTC’s value could potentially rise to the $125,761 level.
$BTC announcement
BTC reached new ATHs, then rapidly plummeted through available volume levels down to $102K.
A swift rebound from $108K indicates strong buyer interest, but $116K (Oracle line) must convert to support for further upward movement.This was not a typical correction, it was a market fluidity purge.… pic.twitter.com/CoTZ5Z80y5
— Pirow (@DanielPirow) October 12, 2025
Conversely, should Bitcoin drop below $110k, the next critical support is established at $100,000.
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Ethereum Steady at $3,825 Following Major Crypto Selloff
Panic-induced liquidations caused the Ethereum price to dip temporarily to about $3,500. However, it has since rebounded to reclaim the base level level at $3,825. Currently, it is trading at
.
A whale shorted $600 million in BTC and $300 million in ETH, adding to nearly $19 billion in a crypto asset selloff, marking one of the largest in recent memory.
A LARGE HOLDER JUST OPENED A MASSIVE $330M $ETH SHORT
IS A PRICE DROP IMMINENT? pic.twitter.com/f49YjKhGmE
— AlΞx Wacy
Analyst Donald Dean observed that $3,825 is now a crucial short-term base level level. However, this is contingent as macro events could lead to further declines in the upcoming week.
$ETH $ETHUSD ETH – Significant Drop, What’s Next
As previously mentioned, $3825 seems to be our short-term base level after the drastic decline caused by a whale shorting BTC in conjunction with mass liquidations. $19 Billion Impact on crypto, unbelievable.
Monday might reveal additional weakness, but long-term… https://t.co/unr786Qx7A pic.twitter.com/f6lYzt3mC3
— Donald Dean (@donaldjdean) October 11, 2025
Despite the recent upheaval, ETH’s technical outlook remains encouraging. Dean highlighted a uptrend flag pattern evolving on the daily chart, indicating a potential bounce if ETH sustains above $3,875.
Should the price floor long-term holding, Ethereum may aim for price ceiling points between $4,500 and $5,766. Conversely, if it falls below $3,500, deeper price floor regions could be at stake.
(Source: TradingView)
Trading market analyst Alex Wacy noted that the recent downturn has eliminated excess leverage and weak sellers, paving the way for a robust rebound, and is optimistic that ETH could reach a new all-time high in the coming weeks.
It’s amusing how many “experts” are suddenly predicting a BEAR MARKET.
Leverage eradicated. Liquidity removed. Weak hands capitulated.
This is precisely when MASSIVE RALLIES occur.
All indicators suggest to me a new $ETH ATH is imminent in the coming weeks. pic.twitter.com/E5xOoqTh21
— AlΞx Wacy
According to Wacy, ETH might reach between $4,300 and $5,175 in October, forecasting around $12,000 in the long run by late 2025.
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WLFI, Aster and Sonic Labs Launch Major Coin Buybacks After The Crypto Crash
In the aftermath of one of the direst crypto crashes in recent history, three altcoin projects have initiated substantial token buybacks designed to relieve selling pressure and restore trust among users.
World Liberty Financial (WLFI) declared a $10 million buyback using the USD1 stablecoin. Blockchain data reveals that the buyback was executed gradually through a TWAP model, which aids in distributing purchases over time and preventing sharp price fluctuations.
While others panic, we stack.
Today we bought $10 million worth of $WLFI — and this won’t be the last time.
We know how the game is played.https://t.co/do3wPuiuZc— WLFI (@worldlibertyfi) October 11, 2025
The tokens repurchased will be withdrawn from circulation to stabilize prices over time.
Aster transferred 100 million of its ASTR tokens from its treasury to acquire them from the crypto market, just after the platform implemented its Stage 2 Free token distribution Checker.
Sonic Labs dedicated $6 million to purchase its native $S tokens, which have been added to its treasury.
While most networks struggled to stay operational, Sonic operated flawlessly. Zero pending transactions, nearly instant finality, and minimal fees across every DEX and application.
And while others retracted, we advanced by adding $6 million in open-market buying, increasing… https://t.co/56bYdob3rN pic.twitter.com/BjlyIkzm7D
— Sonic (@SonicLabs) October 11, 2025
It emphasized that the protocol remained stable despite the crash, with the CEO stating that native assets may yield better long-term returns than depending on stablecoins.
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Veteran Trader Peter Brandt Is Bullish On Bitcoin, XRP, ETH, and XLM
Renowned crypto holder Peter Brandt suggests that Bitcoin, ETH, XRP, and Stellar (XLM) may be positioning themselves for upward momentum.
In a post on X, he indicated that BTC’s chart resembles historical patterns that culminated in significant rallies.
A few final posts for the weekend, then I will leave you youngsters with your dreams$XRP – just a minor reaction in bigger scope $BTC – bull still alive and kicking $XLM – a bull awakening from rest $ETH – ready to take off
If I change my mind, I won’t inform you pic.twitter.com/rL1nVETYSn— Peter Brandt (@PeterLBrandt) October 11, 2025
He also pointed out that Ethereum is holding firm despite recent crypto market declines.
For XRP and XLM, Brandt observed signs of accumulation, suggesting that traders might be discreetly buying the dip and that these coins could experience a similar upward trajectory.
In summary, while acknowledging short-term price swings, he conveyed that the long-term outlook for these assets appears favorable.
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BitForex CEO Linked To $735M Bitcoin Short
A recent investigation into on-chain activity by crypto researcher “Eye” has linked a mysterious whale on Hyperliquid, holding over 100,000 Bitcoin, to Garett Jin.
Jin is the former CEO of BitForex, an exchange that was closed down following fraud accusations.
1/ An investigation into the possible identity of the enigmatic Hyperliquid/Hyperunit whale, who controls over 100,000 Bitcoin. Recently, he sold over $4.23B in BTC to obtain Ethereum and is the same individual behind the $735M BTC short position placed on the same platform. pic.twitter.com/WeNvmiYP8v
— Eye (@eyeonchains) October 11, 2025
In his post on X, Eye referenced the whale’s principal digital wallet, identified as ereignis.eth. This wallet connects to another ENS address, garrettjin.eth, linking directly to Jin’s verified X account, @GarrettBullish, implying a strong association between the two.
Eye explained, “The ENS name ereignis.eth (“event” in German) corroborates his connection to this digital wallet, identifying him as the entity executing large-scale operations on Hyperliquid/Hyperunit.”
The wallet’s transaction history also aligns with Jin’s business dealings, including transfers to locking tokens contracts and funding from exchanges previously associated with him, such as Huobi (HTX).
Additionally, the crypto wallet has received and sent funds related to BitForex-linked addresses and Binance deposits, which facilitated substantial trades, one of which involved $735 million in BTC.
However, skepticism remains. Crypto analyst Quinten François contended that the evidence is suspiciously convenient for his perspective.
It doesn’t add up to me.
Why would you possess an .eth name directing to your X handle in a digital wallet that directly links to market manipulation wallets and other illicit wallets?
I doubt anyone is naïve enough.
— Quinten | 048.eth (@QuintenFrancois) October 12, 2025
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The post Can BTC And Ethereum Rebound After A $19B Liquidation Storm? appeared first on 99Bitcoins.
