Bitcoin’s price has experienced a dramatic downturn, falling as low as $103,700 in the last few hours. Liquidations across derivatives markets now stand at around $844 million, according to Coinglass, with over $226 million of these liquidated positions occurring within the past hour alone, a majority being longs. This drop comes amidst a wider decline in stock markets, with the S&P 500, Nasdaq, and Small Cap 2000 all experiencing losses exceeding 1%, while the DJIA stands down by 0.6%. The market’s response to this recent price drop coincides with escalating tensions between the US and China. Donald Trump recently accused China of violating an agreement, promising retaliation on Truth Social. Meanwhile, China has urged the US to rectify its actions and address discriminatory restrictions against it. These statements have fueled concerns among investors regarding market instability.