Markets took a sharp hit late Friday after U.S. President Donald Trump threatened a hefty 50% tariff on all European Union imports and a 25% tariff on imported Apple iPhones.

In the ensuing 24 hours, bullish cryptocurrency traders faced over $500 million in losses as profit-taking and forced liquidations swept through the market in response to escalating trade tensions.

Bitcoin, which had been trading above $111,000, quickly slipped to roughly $108,600, erasing earlier gains and unsettling investor confidence.

The downturn in Bitcoin reverberated across the crypto sector, with futures tied to Ether (ETH), Solana (SOL), XRP, and Dogecoin (DOGE) all experiencing significant losses—ranging from $30 million up to more than $100 million.

Bitcoin futures alone accounted for approximately $181 million in liquidations, Ether futures added nearly $142 million, and other altcoins combined to push total liquidations beyond $100 million. SOL, DOGE, and XRP were among the hardest hit.

Data from CoinGlass highlights the largest single liquidation: a $9.53 million BTC-USDT swap on OKX.

Liquidations occur when leveraged positions fail to meet margin calls and are forcibly closed by exchanges, often signaling periods of heightened market volatility and potential inflection points.

This correction hit just as Bitcoin was gaining strength from increasing ETF inflows and expanding institutional interest—factors that had suggested a calm weekend ahead.

However, fears of a renewed trade war have reintroduced sharp volatility, complicating the macroeconomic outlook and prompting traders to remain cautious as next week’s sessions approach.