Bitcoin tumbled to its lowest level since August before buyers stepped in and lifted the price back above $75,000, according to CoinDesk data. Ether saw equally sharp swings, slipping below $2,100 before recovering to $2,144 as of the time of reporting.

Traders betting on higher prices bore the brunt of the sell-off. Long positions made up roughly $913 million of the total liquidations, meaning bullish leveraged bets absorbed most of the losses. Liquidations occur when exchanges forcibly close a leveraged position because its margin can no longer cover losses, a mechanism that tends to punish bullish bets hardest when prices fall.

Ether Liquidations Outpace Bitcoin's

Forced liquidations swept through the cryptocurrency market over a 24-hour window, wiping out more than $1 billion in trader positions, CoinGlass data showed. The bulk of the activity was concentrated in the final six hours of that period.

Ether accounted for approximately $448 million of the liquidations, nearly double Bitcoin's $272 million. The single largest liquidation order involved an Ether position valued at $48 million.

The figures illustrate how quickly leveraged positions can be erased when prices move sharply against traders. While Bitcoin and Ether both recovered from their intraday lows, the initial decline set off widespread forced selling across futures markets.

Nvidia Investigation Adds Another Layer of Market Uncertainty

The turbulence followed reports concerning Nvidia CEO Jensen Huang and an alleged connection involving Alice Huang, a business executive whom U.S. intelligence agencies reportedly believe was passing information to Beijing.

Nvidia's board confirmed that it had opened an independent investigation in response to the reports. In a message to employees, Jensen Huang acknowledged having an affair with Alice Huang, apologized for the harm caused and said he had been unfaithful to his wife.

The company said it had no reason to believe that national security information or company secrets had been compromised. However, Nvidia noted that its investigation would examine all available information, with the board overseeing the review alongside independent outside counsel. The review remained ongoing as of the time of reporting.

The allegations carry implications beyond the personal relationship, given Nvidia's central role in the artificial intelligence industry and in the broader U.S.-China technology competition. Washington maintains export restrictions on Nvidia's most advanced AI chips to China. Meanwhile, Megaspeed, a company linked to Alice Huang, has been accused of helping restricted Chinese firms obtain Nvidia chips.

Nvidia's position at the center of the AI boom has also made the company an important reference point for risk appetite across financial markets, including cryptocurrencies.

Stalled Iran Negotiations Add Geopolitical Pressure

Another source of uncertainty came from U.S. Secretary of State Marco Rubio, who said negotiations with Iran had stalled. The development added to concerns about geopolitical risk as traders weighed the latest headlines.

Because cryptocurrency markets remain open over the weekend, digital assets were among the first major financial markets to reflect the news. Bitcoin and Ether initially moved lower as traders reduced exposure to risk-sensitive assets.

The tokenized stock market—blockchain-based representations of publicly traded shares—had also responded negatively to the Nvidia-related developments, according to the report. The combination of corporate uncertainty and stalled diplomatic talks contributed to the volatile trading environment. With Nvidia's review still underway and the Iran talks at a standstill, both storylines remained unresolved at the time of reporting, leaving market participants watching for further headlines on either front.

Source: CoinDesk

Reporting by Ethan Collins for Hokanews.