Did this crypto dump happen because of Trump tariff tweet,or it was manipulation

[Junii]

Were Trump and CZ(binance)  responsible for this dump?or it was all done because of tariffs.

[pooya87]

Not exactly. It is a chain of events.

In my opinion the reason starts in 2019-2020 creating that so called "chain". Back then when the global economy entered a recession due to the pandemic, the US stock market like most stock markets crashed. That recession also caused a bear market in bitcoin. Then some people started the theory that bitcoin price is correlated with the US stock market (not the global recession itself)!!! They repeated that false theory so many times that many weak hands believed it and in the coming years each time there was dump in the US stock market, they also panic sold their bitcoins too.

Now fast forward to this week. US regime increases the tariffs on China, which would increase the inflation in the US for the people which means price of bitcoin should actually go up indirectly.
But China retaliated hard. They increased the tariffs on US, they imposed sanctions on US, they increased the fee on US ships, and finally they banned the export of a lot of materials to the US. This last one was the biggest hit that damaged a large number of industries across US therefore it dumped their stock crashing the American markets.

As the US stock market crashed, the same weak hands I explained above saw that and panic sold their bitcoins for no reason (no reason because there is no correlation, they just panic sold).
It is related since the panic sell was indirectly linked to that.
It is not related to it because we are not seeing an actual "crash", we just saw a panic sell followed by an immediate recovery back to above the support level and staying at $115k which is the average price since July.

[FinneysTrueVision]

There is a lot of theories surrounding Binance and Wintermute. Without market makers, most altcoins would struggle to have any real organic liquidity. This gives them a lot of influence and power over altcoin markets. If they take their funds off the order books, the price of some coins would fall like a rock. That is what we saw last Friday.  While Bitcoin only went down around 7%, some coins lost 90% of their value, with some even going to zero for a few seconds.

For market makers, these types of events are like Christmas day because they can buy coins for dirt cheap prices and then make a massive profit by pumping them back up.

Trump has made tariff threats before and he always walks them back. The markets should have been better prepared, yet we saw the biggest day of liquidations ever. Part of this is people being reckless with leverage, but also there has to be some manipulation involved. There isn’t a reasonable explanation for how BNB was barely affected and reached a new all-time high in the middle of this bloodbath.

[hugeblack]

You'll find thousands of analyses, but they all link a price event (a price drop) and then search for news at that moment. For example, if a political agreement occurs and the price of Bitcoin rises at the same time, you'll find someone who links the two pieces of news.
So, whether it's tariffs or manipulation, both occurred during a price drop, and they don't necessarily have a direct impact on the price.

[Ojima-ojo]

Were Trump and CZ(binance)  responsible for this dump?or it was all done because of tariffs.

Binance is offering an airdrop for memecoins trader's, is that a way of accepting that they responsible for big dump in the price of most coins, most especially memecoins, the reality is that there will always be market manipulations and for that reason we need to be prepared for such events.

Tariffs war between China and US is somewhat another external factors that will keep dragging Bitcoin and crypto market along with it same way it drag the stock market to it kneels, Bitcoin dumping is a bit minimal because of less influence on the assets but memecoins are highly manipulated and what ll react differently to incidence like what we witnessed last week.

[Wakate]

You'll find thousands of analyses, but they all link a price event (a price drop) and then search for news at that moment. For example, if a political agreement occurs and the price of Bitcoin rises at the same time, you'll find someone who links the two pieces of news.
So, whether it's tariffs or manipulation, both occurred during a price drop, and they don't necessarily have a direct impact on the price.

People had been contemplating if the current news about Trump adding more tarrif on China to be a sign of market manipulation. We can not clearly assume that it's a pure manipulation but in some aspect especially from some speculators, they believe that's a manipulative move to disrupt the market and create fud. To those that are in the neutral level/don't care about what's going on in the market, they see that a good move by President Donald Trump to halt any agenda of China creating unnecessary scenes.

[gunhell16]

If you are referring to the recent massive dump in Bitcoin's price value, which quickly recovered but has now dumped again, then it's true that Trump is indeed performing a form of manipulation.

I believe this because Trump has already identified the weakness of other investors. So, whenever he wants to make a profit, he will simply use his secret weapon the tariff war
to take advantage of others in the market again, and of course, the crypto market is affected as well.

[pooya87]

If you are referring to the recent massive dump in Bitcoin's price value,

A "massive" dump would be a crash and in bitcoin market it is anything above 30% which means price should have dropped to $86k to be considered a "massive dump".

The drop we actually had was barely 10% and in bitcoin market that is a normal drop (anything lower is not even a drop, it is daily fluctuations ). It is regular as well, for example we had 2 of similar drops back in September and 3 in August.

[passwordnow]

Were Trump and CZ(binance)  responsible for this dump?or it was all done because of tariffs.

They were and look at the news that Binance has given, they're going to refund $300M - $400M out of the $1B that has been liquidated.
Binance launches $400 million initiative to refund users, instill market confidence following crypto flash crash
With how things went from this crash, it seems that they are one of the most responsible why it had happened and why there's this initiative.

[9ja Amaka]

Not exactly. It is a chain of events.

In my opinion the reason starts in 2019-2020 creating that so called "chain". Back then when the global economy entered a recession due to the pandemic, the US stock market like most stock markets crashed. That recession also caused a bear market in bitcoin. Then some people started the theory that bitcoin price is correlated with the US stock market (not the global recession itself)!!! They repeated that false theory so many times that many weak hands believed it and in the coming years each time there was dump in the US stock market, they also panic sold their bitcoins too.

Too bad the false theory is no longer a myth but a realty now. There is nothing we can do about it, to stop the correlation. The stock market and Bitcoin are glued which makes it so bad for the Bitcoin enthusiast. SMH the OP is right. This is my reason; the US stocks can be influenced by inflation, market sentiment and Trump policies. We have seen how obvious it is in recent times. Perhaps (because i dont want to be completely sure), if the US stock market can be influenced by Trump's policies and the stock market is tied to the Bitcoin market based on the theories then hypothetically the Bitcoin market is also influenced by Trump's policies.

We many not complete agree Trump tariffs tweet made an influence on the Bitcoin market but we can all agree it affected the stock market. Which made my point more proving using the so called theory.

[pooya87]

Too bad the false theory is no longer a myth but a realty now. There is nothing we can do about it, to stop the correlation. The stock market and Bitcoin are glued

If the two markets were "glued together" then they would have always moved together not only sometimes when there is FUD on the internet. Additionally even the recent drop was nothing new, price was $110k for weeks and it is still $110k+ after it failed to rise more than $120k.

There is also another drama going on that can act as a selling incentive with the core v30 versus knots nonsense that has been heating up in the community. None of that has anything to do with Trump and his silly tariff war with the world.

[fullfitlarry]

Were Trump and CZ(binance)  responsible for this dump?or it was all done because of tariffs.

They are all connected in my opinion.  The thing is that everyone is on Trump right now, that's why everything he do, it reflected to the market, not just in crypto. And the timing itself of the tariff increased in China might also be another trigger point for some of us to say that there is a manipulation.

But it's hard to proved at this point, we can just suckered it in on what has happened to one of the biggest dump that we have seen so far. And up to know, the market is bleeding although it somewhat settled down a bit.

[tsaroz]

Were Trump and CZ(binance)  responsible for this dump?or it was all done because of tariffs.

This was just an excuse. It was not the first time or last Trump is going to threaten China with triple digit sanctions. Yes the market did responded negatively on every time he did that but last one was unnatural as the dump was intended to liquidate long term leverage holders. For most coins the price went much lower than they have been for years. The prices plunged for brief moment as long term traders were liquidated than the whales and market manipulators rushed to buy the coins for cheap. It was also a tussle between leveraged hedge traders and swing traders.
The move was particularly bad for people who had set stop loses and leveraged traders who got liquidated. For normal holders and people waiting to buy for a cheaper price, it was an opportunity to get coins for cheap.

[AntonySS]

Were Trump and CZ(binance)  responsible for this dump?or it was all done because of tariffs.

There are actually many factors involved, including fees and issues at Binance, problems with oracles, and the situation with the stablecoin.

[woez]

They are all connected in my opinion.  The thing is that everyone is on Trump right now, that's why everything he do, it reflected to the market, not just in crypto. And the timing itself of the tariff increased in China might also be another trigger point for some of us to say that there is a manipulation.

But it's hard to proved at this point, we can just suckered it in on what has happened to one of the biggest dump that we have seen so far. And up to know, the market is bleeding although it somewhat settled down a bit.

It's undeniable that the crypto market often overreacts to macro news. Yes, as you stated above, they seem interconnected, and each side capitalizes on the moment, creating a tug-of-war and significant volatility. But I personally see something interesting about the current market situation, BTC fluctuating performance is sometimes used as a barometer of market fear.

This is where we'll learn how market participants' behavior patterns work, rationally. Some believe BTC is a win-win solution as a hedge, while others panic due to the short-term correlation with stocks. But honestly, I personally see this just of a panic reaction than a biased perception without valid evidence, if I'm not mistaken.

[TastyChillySauce00]

Were Trump and CZ(binance)  responsible for this dump?or it was all done because of tariffs.

There are actually many factors involved, including fees and issues at Binance, problems with oracles, and the situation with the stablecoin.

I heard it's because USDe oracle error that causes depegging and things cascades but it's still unverified and can be wrong.

Honestly there's no real verified cause because everybody just went silent. One thing for sure it affected the whole crypto market which is crazy.
Even most of trading platforms are reimbursing left and right, what a mess.