Trading Signals – Crypto Market Report, September 25, 2025
Sell-off pressure and mass liquidations
The crypto market endured a turbulent session marked by broad-based risk reduction and leveraged unwinds. Intraday, roughly $100M in ETH longs were liquidated within just 60 minutes. Soon after, another wave hit, wiping out about $230M across crypto in 30 minutes, demonstrating how tightly-wound positioning can unravel when volatility spikes.
At the day’s low, Bitcoin briefly slipped below the psychologically important $110,000 level before stabilizing. In aggregate, nearly $500M in long positions were washed out within a single hour during the peak stress. The action underscored a familiar caution: in periods of thin liquidity and heavy leverage, “air pockets” can still appear even in a structurally improving market.
Macro prints and notable institutional moves
Macro data landed firm. The U.S. Q2 GDP figure was revised up to 3.8% from 3.3%, pointing to stronger-than-expected underlying growth. The revision helped temper worst-case fears about a sharp deceleration and added ballast to risk sentiment outside of crypto.
In corporate and institutional news, Microsoft announced it would terminate certain Israeli military-tech access in response to surveillance concerns—an example of how geopolitical currents continue to intersect with big-tech policy. On the asset-management side, BlackRock filed for a Bitcoin Premium Income ETF, highlighting continued product innovation aimed at pairing BTC exposure with systematic yield. Even as spot prices wobbled, the pipeline of institutional wrappers continued to expand.
By session end, about $170B had been shaved off total crypto market cap over 24 hours (roughly a 7% drawdown), a reminder of the size of the correction. Still, from a year-to-date lens, total market cap remained far above early-year levels. The market will need time to absorb the supply released by forced sellers, but the longer-term structure remains supported by institutional product growth and gradually improving policy clarity.
Politics, rhetoric, and sentiment
Political commentary layered onto the day’s macro backdrop. President Donald Trump criticized the Federal Reserve under Chair Jerome Powell for perceived policy missteps and high rates, reinforcing how monetary policy remains a lightning rod. For markets, the remarks served mainly as a sentiment variable: they can swing expectations, but they do not directly alter the near-term path absent formal policy changes.
Conclusion
September 25 was a case study in leveraged risk: cascading liquidations amplified moves, briefly pushing BTC under $110k and erasing $170B in crypto market value. Yet, macro resilience (a stronger GDP print) and the steady march of institutional product development (e.g., BlackRock’s new filing) provided counterweights. The net message is two-sided: manage leverage and liquidity risk tightly in the short run, while recognizing that structural adoption drivers continue to build underneath the surface.
