The cryptocurrency market witnessed renewed selling pressure on Wednesday, with Hyperliquid (HYPE), SPX6900 (SPX), and Artificial Superintelligence Alliance (FET) among the biggest losers. Over $655 million in liquidations were recorded across the market as tariff tensions between the U.S. and China reignited investor fears, triggering broad declines across major digital assets.
Market Faces Renewed Volatility Amid U.S.–China Trade Tensions
Market sentiment took a hit after U.S. President Donald Trump hinted at potential restrictions on cooking oil trade with China. The geopolitical uncertainty prompted a wave of liquidations, sending Bitcoin (BTC) below $113,000 and accelerating losses across altcoins.
According to CoinGlass, total crypto market liquidations surpassed $655 million in the past 24 hours, with leveraged traders suffering heavy losses. Analysts say the sell-off reflects broader risk aversion and rising volatility ahead of possible macroeconomic policy shifts.
Hyperliquid Risks Breakdown Below Key Support
Hyperliquid (HYPE) extended its losses for a second consecutive day, dropping over 1% on Wednesday after a 7% decline on Tuesday. The decentralized exchange (DEX) token has erased most of its early-week gains and now trades dangerously close to a breakdown below the 200-day Exponential Moving Average (EMA) at $38.28.
The S1 Pivot Point level at $36.77 remains a key support zone that helped the token rebound earlier in the week. However, a daily close below this level could open the door for a deeper pullback toward the center Pivot Point near $28.36.
On the technical front, bearish momentum is strengthening. The MACD continues to trend lower in negative territory, while the Relative Strength Index (RSI) at 39 indicates that there’s still room for further downside before reaching oversold levels.
For HYPE to regain bullish traction, analysts say the token would need to climb back above the 50-day EMA at $45.66, with potential resistance near $48.09.
SPX6900 Bears Eye $1 Retest
The SPX6900 (SPX) token continued its decline on Wednesday, slipping another 1% and extending its 10% drop from the previous day. The asset has been struggling to recover since Friday’s market crash, and the current pullback threatens to erase Sunday’s short-lived 28% rebound.
If selling pressure persists, SPX could retest the $1 psychological support level, with a potential dip toward the $0.90 zone, last seen on May 31.
The MACD shows a clear bearish divergence, signaling increased selling strength. Meanwhile, the RSI at 46 has fallen below the neutral midpoint, reinforcing a neutral-to-bearish sentiment in the short term.
If the market stabilizes, however, SPX could attempt a rebound toward the $1.65 peak from October 6, though analysts caution that recovery momentum remains weak for now.
FET Hits Two-Year Low, Faces Ongoing Pressure
The Artificial Superintelligence Alliance (FET) token suffered one of its steepest declines in nearly two years, closing Tuesday at its lowest daily level since 2023. At the time of writing, FET trades slightly above $0.30, after breaking below the S3 Pivot Point at $0.3310.
The next critical support sits near the S4 Pivot Point at $0.2270, where traders expect potential buying interest to emerge. However, the token’s momentum remains firmly bearish — the MACD continues its decline alongside its signal line, while the RSI at 21 indicates deeply oversold conditions.
While such conditions can sometimes precede a short-term bounce, any rebound could face strong resistance at the $0.3310 and $0.4350 levels, corresponding to prior support zones now turned into resistance.
Market Outlook: Liquidations May Trigger Short-Term Recovery
Despite the market-wide correction, analysts note that sharp liquidation events often lead to short-term relief rallies as selling pressure subsides. However, macroeconomic headwinds — including U.S.–China trade uncertainty and broader market risk sentiment — are likely to keep volatility elevated in the near term.
Technical traders are now watching for Bitcoin’s ability to reclaim $115,000 and Ethereum’s hold above $3,800, both seen as key indicators of whether the broader crypto market can stabilize and reverse course.
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