Bitcoin and Ethereum Crash: $600M Lost in a Day

Crypto investors witnessed a sharp Bitcoin and Ethereum price crash, triggering a wave of liquidation today. In the last 24 hours alone, more than $600M has been lost, dominated by longs, suggesting the wipeout of bullish traders. The sudden shift in investors’ sentiments and unexpected events fueled the mass liquidation.

Bitcoin and Ethereum Crash Fuels $600M Liquidation

In just 24 hours, the crypto market has lost $600M to liquidation, per CoinGlass data. Notably, longs have been liquidated more this time, as Bitcoin, Ethereum, and the rest of the altcoins have crashed due to the current macro conditions.

In this regard, ETH has led the liquidation, with $228.09M loss in just 24 hours, followed by BTC with $131.37M. SOL, DOGE, XRP, and the rest of the altcoins are also in line, affecting a total of 145.7k traders.

Out of the $600M liquidation, a $4.45M liquidation (the largest single wipeout) occurred on Binance in the ETH/USDC pair.

Trump Tariff, Whale Sell-Off, and ETF Outflows Fuel Crash

The sharp liquidation in Bitcoin and Ethereum happens due to a major correction in their prices. BTC, which currently trades at $113.7k, has lost 1.5% of its value today and 4.0% over the week. Similarly, ETH price has tumbled 3.2%, currently trading at $3.5k.

Notably, the broader crypto market is crashing, and the traders who were overly bullish have been liquidated. And the crash formed due to macroeconomic and regulatory shocks with Trump’s new tariff impositions and other factors.

• Trump Tariff Updates

The new updates include a 25% tariff on India and changes in data tariffs for more than 70 countries.  The Fed’s hawkish tone and unchanged interest rate also added additional volatility. In addition to that, even positive factors failed to lift investor sentiment.

This includes the release of the White House crypto report, which failed to mention the U.S. Strategic Bitcoin Reserve, awaited by millions.

• Whale Sell-off Movements

The whales’ sell-off has been quite noticeable in the last few days. Even Arthur Hayes sold $8.32M ETH today, followed by other altcoins. Another whale 0x3c9E deposited $93.6M to Binance and other exchanges with the intent to sell.

Whale 0xF436 continues to buy $ETH, having withdrawn another 10,245 $ETH($36M) from exchanges in the past 8 hours.https://t.co/wQoSTX8ISS pic.twitter.com/wAbBE25SfT

— Lookonchain (@lookonchain) August 2, 2025

For BTC, CryptoQuant analyst Maartunn revealed that 21.4k tokens have been sent to exchanges, building selling pressure. Lookonchain experts also note that historically, August and September remain the most bearish months for BTC, posting a 67% probability of decline.

This influenced investors’ profit-taking sentiments, as BTC remains on the higher side.

• Ethereum ETF Inflows Streak Crash

After maintaining a 19-day inflow streak, Ethereum ETFs experienced their first net outflow on August 1, with a net flow of -$152.26M. Starting early July, these ETFs remained highly popular, attracting $5.38 billion in inflows, with an average of $283M per day.

Out of 31 days in July, $ETH ETFs saw net outflows on just one that’s $5.43B flowing into #Ethereum in a single month $ETH is now on a 20-day ETF inflow streak, with BlackRock’s ETHA alone scooping up over $4B

The demand is relentless. pic.twitter.com/mCzgh0KPEe

— Lucky (@LLuciano_BTC) August 2, 2025

The outflow results in a decline in the AUM by $20.11 billion, representing 4.7% of ETH’s market cap. The Bitcoin ETF also witnessed $812M in outflows, marking it as the second-largest record. A $146.48 billion drop in AUM also happened, representing 6.46% of Bitcoin’s market cap.

This also aligns with their price crash and mass liquidation of $600M.