Crypto market crash is becoming increasingly severe as the global market cap has tumbled to $2.56 trillion, erasing more than $180 billion since CoinGape’s warning last week. Bitcoin (BTC), Ethereum (ETH), and XRP plunge below key support levels amid macro, technical, and geopolitical jitters.
Moreover, the Crypto Market Fear & Greed Index recorded a sharp drop in the sentiment from 48 (neutral) to 28 (greed) today in just a few days. Bitcoin loses strength and crashes more than 2% to $76,678 lows today, while Ethereum fell 4% to $2,095 lows. ETH is witnessing liquidations far higher than BTC’s in the last 24 hours.
Meanwhile, top altcoins XRP, BNB, Solana (SOL), Cardano (ADA), and Bitcoin Cash (BCH) fell 2-7% further over the past 24 hours, despite the Senate advanced the CLARITY Act. Meme coins Dogecoin (DOGE), Shiba Inu (SHIB), and Pepe Coin (PEPE) fell more than 4%. AI coins are witnessing massive profit taking today.
Macro Risks Stemming from US-Iran War Triggering Crypto Market Crash
Oil prices gained 2% to above $107 per barrel on May 18 amid stalled US-Iran peace talks, with President Trump’s visit to China doing less to pressure Iran to open the Strait of Hormuz.
President Trump issued a stark warning to Iran, saying “the clock is ticking” and urging the country to “get moving, FAST, or there won’t be anything left of them.” Also, he is expected to convene his top national security team in the Situation Room on Tuesday to discuss military options in Iran.
The latest hot US CPI and PPI inflation data signaled that the energy price shock is feeding into broader US inflation. CME FedWatch Tool data shows traders are fully ruling out any Fed rate cuts this year, while increasing bets on a possible rate hike before year-end.
Investors are now awaiting the latest FOMC meeting minutes and flash US PMI data this week. It will provide clues on monetary policy and economic activity expected under the new Fed Chair Kevin Warsh.
Meanwhile, the US dollar index (DXY) climbed to a 6-week high of 99.3 today. The US 10-year Treasury yield climbed to around 4.63% today, reaching its highest level since January 2025 amid rising inflation.
The yield curve is positively sloped across all maturities from three months to 30 years. This is normal, and it means markets are pricing in rate hikes and rising inflation. Over time, the curve will steepen further as the reality of higher interest rates and inflation sinks in.
— Peter Schiff (@PeterSchiff) May 18, 2026
Massive Bitcoin, Ethereum, XRP, Solana, Other Altcoins Liquidations
As the crypto market crash deepens, more than $700 million in top crypto assets were liquidated in the last 24 hours. Notably, nearly $620 million in long positions and $80 million in short positions were liquidated over the last 24 hours.
This is turning into a larger crypto market liquidations event amid no signs of buy-the-dip sentiment. Notably, over $520 million in long positions were liquidated in just 4 hours, according to Coinglass data.
More than 108K traders were liquidated, with the largest single liquidation order of ETH-USDT worth $28.49 million on crypto exchange Bitget. As per data, Ethereum, Bitcoin, Solana, XRP, XAU, Dogecoin, WLFI, Bitcoin Cash, BNB, ADA, and WLD recorded the largest liquidations, causing a broader crypto market crash.
Deeper Crypto Market Crash Risks
As CoinGape reported earlier, Bitcoin and Ethereum options signaled traders are turning cautious and opening puts ahead of the May 29 monthly options expiry.
Moreover, Glassnode data show capital inflows are weaker than in past bull phases, limiting the odds of an uptrend. Market expert BIT noted a renewed pickup in price pressures for a potential crypto market crash.
10x Research revealed that more than $1 billion in redemptions from spot Bitcoin ETFs since the CPI inflation data, calling “The inflation trade is back.” It added that 30-year bond yields climbed above 5.12%.
Bitcoin is testing its 30-day moving average. A confirmed break below signals deteriorating momentum. 10x Research warned traders of a crypto market crash if Bitcoin falls below the $76,922 major support. Currently, BTC is trading near $76,700.
