“Crypto markets plunged toward April lows on Friday as a lingering liquidity crunch amplified price swings. Bitcoin and ether fell more than 10%.”, — write: www.coindesk.com
Liquidity void in crypto persists (Simon Hurry/Unsplash)
- Market depth failed to recover from October’s crash, leaving order books thin and exacerbating Friday’s moves.
- INJ, NEAR, ETHFI, APT and SUI fell 16%–18% in 24 hours as sentiment hit extreme fear levels not seen since mid-2023.
BTC was recently trading around $82,200 with ETH near $2,700. The altcoin market fared worse than the major cryptocurrencies as several tokens slumped as much as 20%. The CoinDesk 20 Index (CD20) fell 10% while the CoinDesk 80 Index of next-biggest tokens lost 12%, with all members in negative territory.
The sell-off was in part due to the liquidity crisis that spawned during October’s sell-off and liquidation event. Recent CoinDesk Research revealed that liquidity was still hollow following the crash, paving the way to more violent price swings.
It wasn’t just crypto that felt the squeeze. US equities have also been tumbling and the Nasdaq 100 now trades 9.4% below its Oct. 31 record high.
Derivatives Positioning
- Bitcoin’s 30-day implied volatility index, BVIV, has topped 64%, extending this month’s surge.
- The ether volatility index has jumped to 87%, the highest since April 10.
- Both moves indicate increasing uncertainty in the market and growing demand for options as spot prices slide.
- BTC’s open interest (OI) crashed to 700K BTC from 752K BTC in a day as the price slide shook out bullish leverage bets. According to one analyst, some traders are “knife catching” – or buying futures in a falling market, which is similar to catching a falling knife.
- OI has collapsed across the board in the past 24 hours, with DOGE, ENA, ASTER seeing drops in excess of 15%.
- On Deribit, BTC and ETH options continue to show a bias for put options.
- In BTC, put spreads account for 46% of the total block flow of the pat 24 hours with put diagonal spread at a distant second. ETH flows display a similar profile.
- Some traders have picked up deep out-of-the-money IBIT puts at the $15 strike. (yes you read it right).
Token TalkBy Oliver Knight
- The altcoin market was dealt another brutal blow on Friday as several tokens slumped to multimonth lows.
- The Fear and Greed Index flashed 11/100, its lowest since CoinMarketCap began recording it in June 2023.
- INJ$5.3193, NEAR$1.8281, ETHFI$0.6999, APT$2.3271 and SUI$1.3332 all lost between 16% and 18% of their value over the past 24 hours as traders sold into an incredibly illiquid market.
- Bitcoin and ether weren’t immune, falling about 10% each, although the average crypto relative strength index (RSI) is currently in “oversold” territory, meaning the market may be due a relief rally.
- While the wider market was dealing with a bruising sell-off, a few traders managed to pocket millions of dollars by sniping base founder Jesse Pollak’s creator coin, JESSE. Two of the traders collectively made $1.3 million by purchasing the tokens in the same block the token was deployed, according to Arkham Intelligence.
- As of October 2025, GoPlus has generated $4.7M in total revenue across its product lines. The GoPlus App is the primary revenue driver, contributing $2.5M (approx. 53%), followed by the SafeToken Protocol at $1.7M.
- GoPlus Intelligence’s Token Security API averaged 717 million monthly calls year-to-date in 2025, with a peak of nearly 1 billion calls in February 2025. Total blockchain-level requests, including transaction simulations, averaged an additional 350 million per month.
- Since its January 2025 launch, the $GPS token has registered over $5B in total spot volume and $10B in derivatives volume in 2025. Monthly spot volume peaked in March 2025 at over $1.1B, while derivatives volume peaked the same month at over $4B.
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Peak fear suggests a tactical low may be near.
- Bitcoin’s Greed & Fear Index has plummeted to extreme pessimism, according to 10x Research.
- Peak fear suggests a tactical low may be near.
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