Crypto Market Rebounds After $500 Billion Flash Crash
The total value of the crypto market climbed past $4 trillion on Sunday, fueled by impressive gains in Ether (ETH), Binance Coin (BNB), and Dogecoin (DOGE). After Friday’s crash wiped out nearly $500 billion due to US-China trade tensions and tariff announcements, the recovery was swift.
According to CoinGecko data, ETH, BNB, and DOGE rose 10.5%, 13.6%, and 12.5%, respectively, over 24 hours. Other major coins, including Solana (SOL), Cardano (ADA), and Chainlink (LINK), gained over 10%.
Smaller-cap altcoins saw dramatic moves. Synthetix (SNX) surged over 100% recently, while coins like Mantle (MNT) and Bittensor (TAO) rose more than 30%.
Market Flash Crash Causes
The chaos on Friday was triggered by President Donald Trump announcing 100% tariffs on China for rare earth minerals used in technology. Further instability arose as Binance faced technical issues, causing altcoin prices to briefly flash $0 and the USDe stablecoin to temporarily depeg due to an oracle fault.
Following Trump’s clarification that the US intends to help China, markets began stabilizing.
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Bullish Bitcoin Setup Under Observation
Bitcoin (BTC) currently trades at $115,585, down 8.8% from last week’s high of $126,080, but analysts remain optimistic.
- Mister Crypto notes that Bitcoin’s golden cross pattern may indicate a significant upcoming price rise.
- Alex Becker predicts the start of a new bull market.
- Samson Mow, founder of Jan3, expects Bitcoin to take its next leg up.
- Analyst Mac suggests cautious optimism for the week ahead.
Institutional Buyers Jump on the Dip
The crash was seized as a buying opportunity by institutional investors. BitMine Immersion Technologies allegedly purchased 128,700 ETH worth $480 million. Tom Lee, BitMine’s executive chairman, described the pullback as “natural” and a “good buying opportunity.”
Meanwhile, longtime Bitcoin bull Michael Saylor, executive chairman of MicroStrategy, hinted at purchasing Bitcoin during the dip, posting a chart of holdings with the message: “Don’t Stop ₿elievin’.”
No other major Bitcoin-holding companies reported significant transactions over the weekend, making these purchases particularly notable.
