Can BTC and ETH Recover Following a $19B Liquidation Surge?
A selloff in the crypto market, spurred by macroeconomic anxieties, erased $19.37 billion in leveraged positions within a mere day. Now that the dust has settled and the crypto market has stabilized, let’s assess the current state of the two leading cryptocurrencies.
First, a brief note. On October 10, 2025, President Trump declared a trade conflict with China due to China’s limitations on rare earth mineral exports.
(Source: CoinGecko)
He stated, “Due to China’s unprecedented stance, and solely representing the U.S.A., not other nations facing similar threats, starting November 1st, 2025 (or sooner, depending on any further actions or adjustments by China), the United States of America will implement a tariff of 100% on goods from China, in addition to any current tariffs.”
lol WHAT DID CHINA THINK TRUMP WOULD DO?!?!
100% tariffs atop all existing tariffs. pic.twitter.com/gcPhIbl4C5
— China Uncensored (@ChinaUncensored) October 10, 2025
Additionally, he revealed export controls on critical software, spurring speculation of an all-out tariff war between the two nations, resulting in a crash in the crypto market.
Bitcoin
0.82%
Bitcoin
Bitcoin
Price
$111,593.88
0.82% /24h
Volume in 24h
$60.13B
Price 7d
dropped to $107,468 on Friday, then bounced back to finish at $114,559, which is nearly a 6% decline for the day. The price experienced a temporary rise and reached $110,000 again, before dropping 1.82% on Saturday to close at $112,69.
Currently, Bitcoin is trading below its 50-day EMA while remaining above the 200 EMA, indicating a pessimistic outlook in the short term, though the long-term bullish sentiment persists.
Source: TradingView
If it can break above the $115,000 level, it will bring its 50-day EMA into play. Should it stabilize above that point, BTC’s price may progress towards $125,761.
$BTC update
BTC hit new ATHs, then flash-crashed through all liquidity boxes down to $102K.
A quick recovery from $108K shows strong absorption, but $116K (Oracle line) must flip to support for upside continuation.This wasn’t a normal correction, it was a market fluidity flush.… pic.twitter.com/CoTZ5Z80y5
— Pirow (@DanielPirow) October 12, 2025
Conversely, should BTC dip below $110k, significant support is identified at $100,000.
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ETH Remains Steady at $3,825 Following Substantial Crypto Selloff
Amid panic liquidations, ETH’s price briefly plunged to about $3,500. However, it has since bounced back, reclaiming the price floor level at $3,825. It is currently trading at
.
A large holder shorted $600 million in BTC and $300 million in Ethereum, contributing to almost $19 billion in a crypto selloff, marking one of the largest in recent memory.
BIG INVESTOR JUST OPENED A MASSIVE $330M $ETH SHORT
IS A DUMP COMING? pic.twitter.com/f49YjKhGmE
— AlΞx Wacy
Analyst Donald Dean highlighted that $3,825 now serves as the crucial short-term price floor level. However, this is contingent on macro factors possibly leading to further declines in the upcoming week.
$ETH $ETHUSD Ethereum – Significant Drop, What’s Next
As noted, $3825 appears to be our short-term support after the significant drop caused by a whale shorting BTC along with mass liquidations. $19 Billion Impact for crypto is unreal.
Monday could see additional weakness, but long-term… https://t.co/unr786Qx7A pic.twitter.com/f6lYzt3mC3
— Donald Dean (@donaldjdean) October 11, 2025
Despite the recent turmoil, ETH’s technical outlook remains encouraging. Dean pointed to a bull flag pattern emerging on the daily chart, indicating a potential recovery if ETH holds around $3,875.
Should this support long-term holding, ETH may be able to target price ceiling levels between $4,500 and $5,766. Conversely, a fall below $3,500 could trigger deeper support levels.
(Source: TradingView)
Market analyst Alex Wacy mentioned that the recent shakeout has eliminated excessive leverage and weak hands, paving the way for a substantial rally, and forecasted that Ethereum might achieve a new ATH in the coming weeks.
Interesting how numerous “experts” are suddenly predicting a BEAR MARKET.
Leverage has been cleared. Liquidity has been restored. Weak hands have thrown in the towel.
This is typically when MASSIVE RALLIES are initiated.
All indications to me suggest a new $ETH ATH in the weeks ahead. pic.twitter.com/E5xOoqTh21
— AlΞx Wacy
Wacy predicts that ETH could reach between $4,300 and $5,175 in October and potentially around $12,000 in the long term by late 2025.
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WLFI, Aster and Sonic Labs Launch Major Crypto token Buybacks Following The Crypto Crash
Following one of the worst crypto downturns seen in recent times, three altcoin initiatives have stepped up to announce significant crypto token buybacks, aimed at mitigating selling pressure and restoring user confidence.
World Liberty Financial (WLFI) revealed a $10 million buyback employing the USD1 stablecoin. Distributed database data indicates that the buyback was implemented gradually through a TWAP model, which aids in spreading purchases over time to minimize sharp price fluctuations.
While others panic, we stack.
Today we acquired $10 million worth of $WLFI — and this won’t be the last time.
We understand how the game is played.https://t.co/do3wPuiuZc— WLFI (@worldlibertyfi) October 11, 2025
The repurchased tokens will be removed from circulation to sustain price base level over time.
Aster shifted 100 million of its ASTR tokens from its treasury to repurchase from the crypto market right after introducing its Stage 2 Airdrop Checker.
Sonic Labs pledged $6 million to buy back its native $S tokens, which were added to the treasury.
While many networks were struggling to maintain operations, Sonic operated seamlessly. Zero pending transactions, near-instant finality, and sub-cent fees across all DEX and apps.
And while others receded, we stepped forward by injecting $6 million in open-market purchases, improving… https://t.co/56bYdob3rN pic.twitter.com/BjlyIkzm7D
— Sonic (@SonicLabs) October 11, 2025
The company emphasized that its protocol remained stable during the crash, with the CEO suggesting that native assets may yield better long-term returns compared to relying on stablecoins.
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Veteran Trader Peter Brandt Is Optimistic About BTC, XRP, ETH, and XLM
In his post on X, he indicated that BTC’s chart resembles previous patterns that preceded significant rallies.
A few closing posts for the weekend, then I will leave you youngsters with your aspirations$XRP – merely a small reaction within the larger context$BTC – the bull remains alive and well$XLM – a bull awakening from slumber$ETH – set to thrive
If I change my opinion, I won’t disclose it pic.twitter.com/rL1nVETYSn— Peter Brandt (@PeterLBrandt) October 11, 2025
He also remarked that Ethereum remains resilient despite recent market declines.
For XRP and XLM, Brandt highlighted accumulation signs, indicating that traders may be quietly buying the dip, suggesting these assets could follow a similar upward trajectory.
To summarize, while short-term volatility may occur, the long-term prospects for these assets appear robust.
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BitForex CEO Connected to $735M Bitcoin Short
A recent on-chain analysis conducted by crypto researcher “Eye” has associated a mysterious whale on Hyperliquid, who manages over 100,000 BTC, with Garett Jin.
Jin is the former CEO of BitForex, an trading platform that was closed down following allegations of fraud.
1/ An investigation into the purported identity of the enigmatic Hyperliquid/Hyperunit big investor, who possesses over 100,000 BTC. Recently, he liquidated over $4.23B in Bitcoin to acquire ETH and is 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 pointed to the whale’s primary digital wallet, named ereignis.eth. This digital wallet links to another ENS address, garrettjin.eth, which directs to Jin’s verified X account, @GarrettBullish, indicating a clear association.
Eye clarified, “The ENS name ereignis.eth (‘event’ in German) confirms his relation to this digital wallet, identifying him as the person behind the extensive operations on Hyperliquid/Hyperunit.”
The wallet’s transaction history aligns with Jin’s business activities, including movements to staking contracts and wallets funded by exchanges he previously worked with, such as Huobi (HTX).
Furthermore, the wallet received and transmitted funds connected to BitForex-related addresses and Binance deposits, which facilitated enormous trades, one involving $735 million in Bitcoin.
However, not everyone is convinced. Crypto analyst Quinten François contended that the evidence appears too convenient for his interpretation.
It doesn’t add up to me.
Why would you have an .eth name leading to your X handle in a wallet that directly connects to trading market manipulation wallets and wallets for other crime?
I don’t think anyone is foolish enough.
— Quinten | 048.eth (@QuintenFrancois) October 12, 2025
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The post Can Bitcoin And ETH Recover After A $19B Liquidation Storm? appeared first on 99Bitcoins.
