3 Real Causes Behind the October 10th Crypto Market Crash

Updated
October 25, 2025

Jakarta, Pintu News – On October 10, the crypto world experienced a dramatic crash with the loss of nearly $19 billion in leveraged positions in just a few hours. This event shocked traders and analysts in the industry.

The Perfect Storm: Combination of Several Factors

According to Ogle’s analysis, there was no single trigger that led to this massive sell-off. Ogle explains that the crash was caused by a combination of a lack of liquidity, over-leveraged traders, and automated selling triggered by macroeconomic concerns.

top 10 crypto liquidation
Source: BeInCrypto

Lack of liquidity and excessive use of leverage have exacerbated the situation. When markets come under pressure, the lack of accessible funds makes the prices of cryptocurrencies drop drastically.

CEX issues

Ogle criticized the community’s reliance on centralized exchanges (CEXs) despite multiple failures. While centralized exchanges offer convenience, the future of the industry lies in decentralized finance (DeFi) and self-storage solutions.

Read also: KDA Price Crashes 57% in 24 Hours, Why Kadena Plummeted Today (10/22/25)?

According to him, centralized exchanges are often the weak point in the crypto market structure as they control access and liquidity of assets. This often causes problems when the market experiences high volatility.

Speculative Policies and the ‘Gold Rush’ Mentality

More than just technical failures, there are deeper cultural issues plaguing the crypto space. Ogle highlights that an overly speculative attitude has damaged the image of crypto, turning the tech revolution into what outsiders see as a “casino”.

The importance of using isolated margin in trading to limit losses on certain positions is strongly emphasized by Ogle. Unlike the cross margin, which can liquidate the entire account, isolated margin provides more protection to the investment.

Conclusion

In conclusion, the October 10 crypto market crash was not caused by a single failure, but was the result of excessive leverage, low liquidity, and a speculative culture that treats risk as entertainment. The way forward should involve a critical evaluation of the existing structures and strategies within the crypto ecosystem.

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*Disclaimer

This content aims to enrich readers’ information. Pintu collects this information from various relevant sources and is not influenced by outside parties. Note that an asset’s past performance does not determine its projected future performance. Trading crypto carries high risk and volatility, always do your own research and use cold hard cash before investing. All activities of buying and selling bitcoin and other crypto asset investments are the responsibility of the reader.

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