The Leverage Tinderbox: How Geopolitics and Open Interest Fueled the Largest Wipeouts Ever

Source: Bitcoin.com
by Terence Zimwara

“The start of the second Trump administration in January brought optimism that the crypto economy was headed for better times. During the run-up to the November 2024 U.S. elections, Donald Trump had pledged to eliminate the Biden administration’s anti- crypto policies and end government ‘lawfare’ against crypto entrepreneurs. It was hardly a surprise that bitcoin and a wave of altcoins surged in the immediate aftermath of Trump’s victory and the pro- crypto Republican Party’s consolidation of power in Congress. … Yet the rally soon gave way to the darker side of crypto’s DNA: volatility. The months that followed reminded traders that parabolic gains are often followed by brutal corrections.” (12/27/25)

https://news.bitcoin.com/the-leverage-tinderbox-how-geopolitics-and-open-interest-fueled-the-largest-wipeouts-ever/