The crypto market just got violently reset.
Bitcoin plunged another 4% on Tuesday, dragging BTC down to $87,790 on Coinbase its lowest level since Dec 31. In just 48 hours, over $1.8B in positions were liquidated, and a brutal 93% were LONGS.
📉 What just happened?
BTC is now down 10% in a week
All 2026 YTD gains erased
Price broke below the 50-day EMA, a key bullish support
Total crypto market cap lost $225B, the sharpest drop since mid-November
🌍 It’s not just crypto this is macro chaos
Trump’s renewed tariff threats reignited a “Sell America” trade, but the real shock came from Japan’s bond market.
🇯🇵 Japan’s 10Y yield spiked nearly 19 bps in two days, while the 30Y saw its biggest jump since 2003. According to multiple macro voices, this bond shock is tightening global liquidity and every risk asset is feeling it.
🗣️ Macro insiders weigh in
Dan Tapiero (50T Funds): The crash started with Japan’s bond collapse not crypto fundamentals.
US Treasury Sec. Scott Bessent: A “six-sigma move” in Japanese bonds triggered the bear pressure.
CoinEx Research: Capital is rotating out of US assets; a global liquidity war is forming.
⚔️ The paradox
Bitcoin is supposed to behave like digital gold but in liquidity crunches, it trades like a high-beta risk asset. For now, $BTC is caught in the crossfire.
