Crypto Crash Not Sign of Long-Term Deterioration, Analysts Say

The dramatic crypto market crash this past Friday, which saw many cryptocurrencies plummet by as much as 95% in under 24 hours, doesn’t signal a long-term bearish outlook or weakening fundamentals, according to investment analysts at The Kobeissi Letter. They attribute the recent dip to a combination of short-term factors like excessive leverage and risk, along with US President Donald Trump’s tariff announcement on China. The analysts point to the market’s heavy long bias – with $16.7 billion in long positions liquidated versus only $2.5 billion in short positions – as another contributing factor for Friday’s volatility.