- Crypto market crashes Monday (Apr 7), loses $200B+ as tariff fears hit risk assets
- ETH plunges 19 percent below $1.5k, SOL below $100; majors suffer double-digit losses
- Whale liquidations ($77M ETH risk, $213M BTC moved) add fuel; market RSI deeply oversold
Cryptocurrency markets plunged sharply early Monday, wiping billions from the total market capitalization as major altcoins entered deep red territory. Bitcoin (BTC) dropped 9.65% to $75,000, but Ethereum (ETH) suffered a steeper fall, crashing 18.57% to around $1,465.
Why Is the Crypto Market Crashing Hard Monday?
The crash is a direct reaction to renewed recession fears following President Trump’s aggressive global tariff strategy.
As new levies took effect over the weekend (including rates up to 54% for China) and more loom (Apr 9), panic selling hit risk assets globally. While crypto initially seemed insulated from last week’s $6.5 trillion stock market plunge, that decoupling dissolved during intense selling Sunday night into Monday morning.
How Badly Are ETH, SOL, XRP, ADA, BNB Hit?
The altcoin space saw brutal losses:
- Ethereum (ETH): Crashed 18.57% to ~$1,465, its lowest since Oct 2023. Volume exploded 474%.
- Solana (SOL): Tumbled 18.32% below $100 to ~$97.36. Volume surged 276%.
- XRP: Crashed 19.25% to ~$1.68.
- Cardano (ADA): Fell 18.10% to ~$0.5227.
- Binance Coin (BNB): Lost 10.40% to ~$529.40.
Adding to the pressure, the ETH/BTC ratio fell to 0.02089, a near five-year low, confirmed by journalist Colin Wu, highlighting ETH’s severe underperformance.
Related: Two Crypto Views, One Outcome? CZ Sees Froth, Hayes Sees $1M BTC Catalyst
Are Whale Liquidations Fueling the Sell-Off?
Cascading liquidations appear to be amplifying the downturn. Lookonchain reported over 500,000 ETH moved by whales. One major ETH holder faces potential liquidation of 53,074 ETH (~$77 million) on MakerDAO after already losing $19.58 million in prior events.
Another whale scrambled to avoid liquidation on a $340 million ETH position by repaying DAI and adding collateral, lowering their liquidation price to $1,119 – a level that, if hit, could trigger more waves.
BTC whales also showed signs of panic, with over 2,700 BTC (~$213 million) deposited to Binance. One whale reportedly exited at a $2.53 million loss after misjudging the bottom.
Coinglass data indicated nearly $758 million in bullish leveraged positions liquidated market-wide in the last 24 hours.
How Oversold Is the Market Now?
The crypto total market cap chart plunged below prior support zones, reaching $2.34 trillion according to one 4-hour chart analysis. The Relative Strength Index (RSI) on that timeframe crashed to 17.84, deep into oversold territory (<20).
Related: Crypto Funding Rates Indicate Indecision: BTC, ETH Show No Strong Bias
While such levels often precede relief bounces, extreme fear and ongoing liquidations mean caution is critical. Fibonacci analysis suggests potential further downside toward the $2.2 trillion or even $2 trillion total market cap levels if current supports fail.
Disclaimer: The information presented in this article is for informational and educational purposes only. The article does not constitute financial advice or advice of any kind. Coin Edition is not responsible for any losses incurred as a result of the utilization of content, products, or services mentioned. Readers are advised to exercise caution before taking any action related to the company.
