Key Takeaways

• On 20 October 2025, Bitcoin reached a record high of $125,000 before tariff concerns led to a significant selloff in the cryptocurrency market.
• This review covers major regulatory developments, the impact of US trade policies, and notable shifts in the cryptocurrency market.
• Top story: Bitcoin hits $125,000, then drops sharply as tariff fears trigger a $19 billion crypto liquidation.
• The SEC is reviewing 16 cryptocurrency ETF applications in a crucial round of October decisions.
• The tariff announcement made by Donald Trump spurred historic volatility and widespread digital asset selloffs.
• Ethereum has gained momentum, supported by ETF approvals from BlackRock and Fidelity.
• What to watch: SEC rulings on several crypto ETFs are expected later this month.

Introduction

On 20 October 2025, Bitcoin climbed to a new high of $125,000 before a wave of global tariff concerns led to a sharp selloff and a $19 billion liquidation event across the crypto sector. This cryptocurrency market review spotlights the SEC’s assessment of 16 crypto ETF applications and examines ongoing shifts in digital assets such as Ethereum.

Top Story

Bitcoin Retreats from All-Time High

Bitcoin fell 12% to $64,500 after reaching its peak. Heightened US-China trade tensions prompted a market reversal. The decline was intensified by nearly $2 billion in long positions being liquidated across major cryptocurrency exchanges.

Market Impact

Institutional investors reduced their exposure to crypto assets amid broader market uncertainty. This move followed the introduction of new US semiconductor export restrictions to China. The connection between geopolitical developments and digital asset prices has become more prominent as institutional participation continues to grow.

Industry Response

Major cryptocurrency exchanges reported stable trading infrastructure despite the large volume of liquidations. Binance CEO Changpeng Zhao stated that the platform processed over $12 billion in trading volume without experiencing technical issues.

Also Today

Regulatory Landscape

SEC ETF Developments

The Securities and Exchange Commission has requested further information from seven spot Bitcoin ETF applicants, focusing on custody arrangements and safeguards against market manipulation. BlackRock and Fidelity received detailed response letters centered on investor protection measures.

Ethereum Protocol Update

Ethereum developers announced the successful implementation of EIP-4844 on all major testnets. The protocol upgrade aims to reduce transaction costs, and test phases have shown a 90% decrease in layer-2 fees.

Market Wrap

Cryptocurrency Performance

The total market capitalization for cryptocurrencies fell by 8.4% to $2.1 trillion. Despite the decline, Bitcoin’s market dominance rose to 48.2%, and Ethereum’s price dropped 15% to $3,200. Among layer-1 alternatives, Solana remained relatively stable at $142.

Trading Volume Analysis

Spot trading volume increased to $98 billion on major exchanges, reaching levels not seen since January 2024. The derivatives market also experienced heightened activity, with open interest rising to $22 billion.

What to Watch

• SEC final deadline for the BlackRock Bitcoin ETF application: 8 November 2025
• Ethereum Shanghai hard fork implementation: 15 November 2025
• G20 cryptocurrency regulatory framework announcement: 20 November 2025
• Federal Reserve central bank digital currency pilot program launch: 1 December 2025

Conclusion

Bitcoin’s rapid reversal from an all-time high illustrates how geopolitical factors can trigger broad volatility across the cryptocurrency market. Ongoing institutional activity and upcoming regulatory decisions are influencing investor behavior and strengthening infrastructure resilience.

What to watch: SEC rulings on spot Bitcoin ETFs by 8 November, the Ethereum Shanghai upgrade on 15 November, and G20 regulatory updates on 20 November.