Question #111 ·
What caused Bitcoin prices to swing from $110,000 to $126,000 in mid October 2025?
- Escalating US China trade tensions triggered massive liquidation and volatility. Right answer
- Major protocol upgrade failure led developers to pause network transactions.
- New mining regulations in Europe caused supply constraints and volatility.
Why is this the correct answer?
This is correct because during the period, rising tariffs and public disputes between the United States and China made investors nervous. Traders scrambled to exit leveraged positions, causing forced liquidations that drove prices down sharply. The resulting volatility pushed Bitcoin between one hundred ten thousand and one hundred twenty-six thousand. Beginners should understand that geopolitical disputes can spook markets and trigger large swings.