Updated on Feb. 4, 2025 at 2:28pm:
- Bitcoin (BTC) and Nasdaq futures declined during Asia trading as China imposed retaliatory tariffs against the U.S.
- Beijing introduced a 15% duty on U.S. coal and LNG, a 10% tax on crude oil, agricultural machinery, and large-engine cars, while launching an antitrust probe into Google.
- BTC briefly recovered from $92,000 to over $102,000 due to a U.S. tariff pause on Mexico and Canada but fell to $98,500 following China’s latest actions. (Source)
Traders faced a $560 million (₱32.6 billion) liquidation bloodbath over 24 hours as Bitcoin surged 7.6%, fueled by Trump’s tariff pause and rumors of a U.S. sovereign wealth fund eyeing crypto.
Quick Take delivers key facts fast—concise, clear, and easy to read. Perfect for busy readers.
Key details:
![Photo for the Article - [Update] Crypto Traders Hit Hard as Market Reacts to US-China Tariff War](https://bitpinas.com/wp-content/uploads/2025/02/image-2.png "[Update] Crypto Traders Hit Hard as Market Reacts to US-China Tariff War 2")
- $560M liquidated — 53% were bearish bets (shorts), a rare dominance.
- Bitcoin reclaimed $101,000; Ethereum and Solana soared 15%+ after Trump halted Canada tariffs.
- $38.78M BTC short on HTX was the largest single liquidation.
The numbers:
![Photo for the Article - [Update] Crypto Traders Hit Hard as Market Reacts to US-China Tariff War](https://bitpinas.com/wp-content/uploads/2025/02/image-3.png "[Update] Crypto Traders Hit Hard as Market Reacts to US-China Tariff War 3")
- Liquidations breakdown (24h):
- Shorts: $298.94M (53% of total).
- Longs: $261.35M.
- Top assets liquidated:
- BTC: $80.75M (Shorts at $77.18M)
- ETH: $66.26M (Shorts at $79.09M)
- SOL: $10.14M
- Exchanges hit hardest (4h):
- Binance: $12.05M.
- Bybit: $5.09M.
- HTX: $962K.
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The triple catalysts:
- Trump’s reversal on Canada/Mexico tariffs eased inflation fears.
- Trump’s executive order to create a U.S. wealth fund sparked speculation it could hold Bitcoin.
- Projects like AI16Z (+22%) rebounded, squeezing pessimistic traders.
Between the lines:
- Bears betting on prolonged trade war chaos were caught off-guard. ETH shorts lost $79M as prices snapped back.
- Eric Trump’s “great time to buy ETH” post coincided with a $60M Ethereum transfer to Coinbase by a Trump-linked DeFi project.
What to watch next:
- Markets will dissect the U.S. Treasury/Commerce Department’s plans for potential crypto exposure.
This article is published on BitPinas: Quick Take: Crypto Shorts Get “Rekt” as Market Roars Back on Tariff Truce
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