Analysis of the reasons for the collapse of the cryptocurrency market these days
Analysis of the reasons for the collapse of the cryptocurrency market these days
1. Excess liquidity and leverage
There is significant liquidation of positions: Many traders used margin to open large positions, and when the price began to drop, margin calls were triggered, leading to forced liquidations of their positions.
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#دروس_للمبتدئين 49 With the market collapse, my friend, there are two things you must believe in and know well:
First: Most of us, I can almost assure you, the vast majority think in the same way, with the same mechanisms, and the same ambitions and fears, thus they place stop-loss orders in a specific area, and then the market flow comes and crushes that area, leaving people like us in regret.
Second: There are very smart algorithms that determine the number of sellers and buyers and their entry and exit points, and with quantitative balancing, they sometimes hit both sides in one minute.
🅰️Solutions: Place (sell) and (buy) orders as reinforcement at declines and sell at rises equal to a quarter of the quantity, and so on with every rise and fall... Thus, you enter into a cycle with the market maker and algorithm players that has no end, and you do not know where it moves....
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🚨 The scenario everyone fears... and the few await!
A fascinating theory is spreading on Twitter comparing March 2020 and October 2025, suggesting that the market is going through the same phase that preceded the explosion of the altcoin season five years ago.
📉 According to the analysis, the market may witness a short correction known as Crash 2025, similar to the collapse of 2020 that paved the way for a historic upward wave where some cryptocurrencies rose by 25 to 100 times.
But this time the game is different: • Institutional liquidity has become larger, • Bitcoin's dominance may last longer, • And opportunities may be concentrated in only specific coins…
📊 The cryptocurrencies likely to benefit the most if the scenario plays out: • SOL –$SUI –$SEI – LINK – AVAX – APT – AR – TIA – ONDO – ENA – WLFI – TAO – RNDR – FET – HBAR
🧠 History does not repeat itself, but it often resonates in its rhythm… and the question is: Are we facing Crash 2025 or the beginning of the next explosion?