Bitcoin’s price recently witnessed a drastic fall, hitting its lowest level since early July. The total market capitalization of cryptocurrencies dropped by a staggering $900 billion once the price fell below $101,000.

BTC’s Crash

Last week saw Bitcoin starting positively, reaching more than $126,000 on Monday, an all-time high. However, following some troubling statements from the President regarding China, the situation spiraled.

The President alleged Chinese deception and announced impending tariffs, prompting a massive sell-off. Within just hours, Bitcoin fell from around $122,000 to just over $101,000, marking a significant low in more than three months.

The total liquidation exceeded $19 billion that day, impacting over 1.6 million traders.

BTC has since made some recovery, stabilizing around $112,000, but remains approximately 8% down for the day, with market cap currently at $2.235 trillion.

Alts’ Meltdown

In the wake of BTC’s crash, numerous altcoins suffered even more severe losses. For instance, Cardano’s ADA dropped over 65%, reaching a yearly low of under $0.30. Other significant declines included ETH (-11%), XRP (-12%), SOL (-16%), and DOGE (-22%).

While overall crypto market capitalization has bounced back to over $3.8 trillion, it’s still significantly lower, shedding $400 billion compared to the previous day.