Crypto market loses $300 billion this week as Ether fell 12% and Bitcoin dropped 5%

The crypto market got slammed with a brutal $300 billion loss this week as leverage-heavy trades across the board unraveled, tanking major coins and dragging overall sentiment to levels not seen since ￰0￱ crash started snowballing after Ether dropped a steep 12%, its worst weekly drop since the middle of the ￰1￱ fall sent it crashing below $4,000, a level traders had been watching like hawks for months. Bitcoin, the industry’s benchmark, took a 5% hit, its biggest weekly fall since March, and now floats at the low end of its trading ￰2￱ got crushed when billions in bullish positions blew up in the perpetual futures ￰3￱ $3 billion in long positions were liquidated across various exchanges as the market flipped direction ￰4￱ that figure might not even capture the whole mess since most platforms don’t reveal full liquidation ￰5￱ whole thing triggered a cascade effect across crypto, sending prices lower across the ￰6￱ a brief pause on Friday, when new inflation numbers gave the Federal Reserve room to breathe, the bounce barely lifted the ￰7￱ is still ￰8￱ ETFs post major outflows while corporate buyers disappear Thursday was another rough session, with Bitcoin and Ether ETFs listed in the ￰9￱ more than $500 million in total ￰10￱ same day, Arthur Azizov, founder of B2 Ventures, said, “Bitcoin’s fall below $109,000 is a sign this market’s overheated and headed into a cooling phase.” That level hadn’t been broken since early ￰11￱ dip came as the appetite from institutional buyers completely dried ￰12￱ corporate treasuries that were loading up on crypto during the summer are now pulling back ￰13￱ July, they bought 64,000 ￰14￱ in August, it dropped to 12,600.

This month, they’ve only bought 15,500 so far. That’s a 76% plunge compared to the previous buying ￰15￱ numbers come from CryptoQuant, and they show exactly how fast interest has ￰16￱ that used to raise money through PIPE deals, private investments in public equity, are now seeing their stocks trading 97% below their initial ￰17￱ companies were once seen as stable buyers of crypto, holding Bitcoin on their balance sheets like digital ￰18￱ idea was that corporate treasuries, pension funds, and public firms would lock up Bitcoin long-term and help anchor the market. Now, that theory is falling ￰19￱ less cash and no incentive, these players aren’t stepping in ￰20￱ Howard, senior director at market-making firm Wincent, called the pullback a “healthy correction.” But he didn’t pretend everything’s ￰21￱ Bitcoin now below its 100-day average and total crypto market cap back under $4 trillion, Paul warned that pressure could keep mounting.

“There’s no panic, but crypto’s now following macro trends way more than before,” he said. “For the first time in 2025, I’m questioning whether we’ll even revisit all-time highs this year.” Futures traders liquidated as retail ETF inflows keep climbing On top of that, derivatives traders are getting ￰22￱ the last 24 hours alone, $275 million worth of Bitcoin longs were wiped ￰23￱ demand for longer-dated futures is falling ￰24￱ appetite is ￰25￱ not everyone’s running; retail buyers are still pouring in through ￰26￱ iShares Bitcoin Trust ETF pulled in $2.5 billion in September, way up from $707 million in August, as reported by ￰27￱ as institutional players vanish, retail investors are still chasing ￰28￱ Dorman, chief investment officer at Arca, said the drop isn’t caused by selling.

“It’s not that DATs are dumping—it’s that they stopped buying,” Jeff ￰29￱ lack of consistent demand from institutional treasuries has become a ￰30￱ big buyers weren’t just a floor, they were the whole ￰31￱ Christensen, founder of AirdropAlert. com, had seen this ￰32￱ in August, when Bitcoin crossed $123,000, he warned friends and family to ￰33￱ didn’t see a blow-off top or forced ￰34￱ just didn’t feel right. “All the treasury companies is a huge top signal in my books,” Morten ￰35￱ read was simple: when everyone’s bullish, maybe it’s time to get out. meanwhile, treasury-backed firms that once traded at massive premiums are now being priced at levels that match the actual Bitcoin they ￰36￱ mNAV (the gap between their market cap and the value of their Bitcoin reserves) is nearly ￰37￱ companies used to trade like tech ￰38￱ they’re treated like glorified crypto ￰39￱ $50 free to trade crypto when you sign up to Bybit now