Crypto Market Loses Over $1B in Liquidations Amid Musk-Trump Feud

The cryptocurrency market experienced a sharp downturn triggered by a public feud between President Donald Trump and Elon Musk over a controversial congressional spending bill, leading to over $1 billion in liquidations. Bitcoin's price fell below $100,000, with Ethereum and other major altcoins like Solana, XRP, and Binance Coin also suffering significant losses ranging from 4% to 8%. The dispute, which included threats from Trump to cut federal contracts with Musk's companies, added regulatory uncertainty that unsettled investors amid an already volatile market environment. High-leverage positions were particularly affected, with Bitcoin and Ethereum accounting for the majority of liquidations, and exchanges such as Bybit and Binance reporting massive forced closures. This market instability coincided with an impending crypto options expiry and broader risk-off sentiment linked to declines in traditional markets like the S&P 500. Traders are now cautiously awaiting upcoming crypto options expiries and economic data releases to gauge the next market direction.