The biggest crypto crashes,
each one faster.
In the early hours of October 11, 2025, many traders woke up to empty accounts. It was not crypto's first black swan and won't be the last. Put the big crashes side by side and it's clear what never to do after opening an account.
What is a black swan in crypto?
A black swan is an event that is rare, almost nobody expects, and has a huge impact. In crypto it usually means a 20%+ drop within hours, mass liquidations of futures positions, exchanges lagging and prices spiking to strange levels.
You can't predict black swans, but how much damage they do almost always depends on one thing: how much leverage is in the market.
The biggest crypto crashes: how far and why
| Name | When | What happened | Bitcoin's fall |
|---|---|---|---|
| Black Thursday | Mar 12–13, 2020 | Covid panic hit every market; bitcoin fell from about $7,900 to about $3,800 | About -50% in a day |
| May 19 | May 19, 2021 | Chinese regulators warned against crypto trading while Tesla stopped taking bitcoin | About -30% intraday |
| LUNA | May 2022 | The UST algorithmic stablecoin broke its peg; LUNA fell from about $80 to almost zero in a week | About -25% that month |
| FTX | Nov 2022 | The No. 2 exchange misused customer funds, halted withdrawals and filed for bankruptcy | Down to about $15,500 |
| October 10 | Oct 10–11, 2025 | US announced 100% tariffs on Chinese goods; about $19B of leveraged positions liquidated in a day | About -14% intraday; many altcoins -50%+ |
Sources: Wikipedia: Terra, Wikipedia: Bankruptcy of FTX, CoinDesk. These are bitcoin's moves; many altcoins fell much further on the same days, and some never came back.
The October 10, 2025 crash: the biggest liquidation in crypto history
On the evening of October 10, 2025 (US time), the US announced 100% tariffs on Chinese goods and risk assets were dumped at once. Bitcoin slid from about $122,000 to below $105,000, and many altcoins lost half or even 80% of their value within minutes.
- About $19 billion of leveraged positions were liquidated in 24 hours, the largest ever;
- More than 1.6 million accounts were liquidated, mostly longs;
- some tokens and stablecoins briefly lost their pegs on certain venues, so stop-loss orders filled at terrible prices.
Source: CoinDesk. It came just five days after bitcoin's all-time high. Many traders assumed the bull run would continue, added leverage and became the biggest group of victims. Bitcoin has not made a new high since and entered a bear market that November.
The crash is almost a year old. For newcomers the lesson fits in one line: stay away from futures in your first months, and if you use them, avoid high leverage.
Does crypto recover after a black swan?
| Event | Afterwards |
|---|---|
| March 2020 | About 18 months later bitcoin hit $69,000, 18× the low |
| May 2021 | New all-time high six months later (Nov 2021) |
| LUNA / FTX | The bear market lasted into 2023; bitcoin only regained its old high in March 2024 |
| October 2025 | No new high; a 290-day bear market started a month later |
“Buying the crash always works” is only true in hindsight. At the time nobody knew whether it was March 2020 or FTX. What ruins people is never the drop itself, but the leverage and borrowed money they hold when it happens.
What to do when crypto crashes: five rules for beginners
- No leverage on spot. Spot holdings survive a crash; liquidated futures don't.
- Spare money only, never borrowed. Borrowed money forces you to sell at the bottom.
- Buy in parts. Keep some cash so a crash gives you options.
- Don't panic-sell with market orders. Order books thin out in extreme moves and market orders can fill at absurd prices.
- Ignore “insider tips” and “recovery” offers. Scammers are busiest after crashes; never click fake support or “compensation” links.
Ready to open an account? Sign up on OKX with OK66688 and pay 20% less on spot and futures fees for life. OKX applies the discount automatically; nobody handles your money
Crypto crashes
FAQ.
01What is a crypto black swan?
A rare, unexpected event that sets off a crash, usually with mass liquidations and price spikes.
02What were the biggest crypto crashes?
March 12, 2020, May 19, 2021, the LUNA collapse and FTX bankruptcy in 2022, and the October 10–11, 2025 liquidation night.
03What happened on March 12, 2020?
Covid panic swept markets and bitcoin fell from about $7,900 to about $3,800 in a day.
04What happened on May 19, 2021?
Tougher crypto warnings from Chinese regulators and Tesla dropping bitcoin payments sent bitcoin down about 30% intraday.
05Was October 10, 2025 the biggest crypto crash?
By liquidations, yes: about $19 billion of positions and more than 1.6 million accounts in a day, both records.
06Does crypto recover after a crash?
Not always, and not at the same speed. March 2020 led to an 18× rise; FTX was followed by a year-long bear market; October 2025 led straight into a bear market.
07Will crypto bounce after a crash?
Most crashes see some bounce, but a bounce is not a full recovery and can be a pause before more falling.
08Do exchanges collapse during crashes?
Large exchanges usually don't, though they can lag. Choosing an exchange with proof of reserves and turning on two-factor authentication are the basics.
Done with this one?
Here is the next.
Whether the bull run is real, what altcoin season means, the big crashes of the past, bitcoin's price by year, what 1 USDT is worth in yuan, and how price manipulation works.
Is the crypto bull run over?
Signs of a bull market, how long bull runs last, which years were bull years, and where 2026 stands, with an 8-signal check.
Trending · Altcoin season index todayWhat is altcoin season?
How the altcoin season index works, where it is now, when altseason comes, how long it lasts and why altcoins lag bitcoin.
Market · Bitcoin all-time highBitcoin price history by year
What bitcoin cost in the early days, its all-time high, how much it rose in ten years, and why it goes up and down.
Money · USDT to RMB rate today1 USDT to CNY: what is it worth?
Today's USDT to yuan rate, whether USDT equals USD, what the P2P premium means, the legal position in China and dirty-money risk.
Scams · Pump and dump cryptoCrypto market manipulation explained
Who can move prices, how pump-and-dumps work, the tricks used on new traders and when calling the police helps.
Take your time with the market.
Lock in code OK66688 first.
Signing up is free and the code can only be added at sign-up. Pay 20% less on spot and futures fees for life; new-user rewards still apply.