In the wild world of crypto, volatility is part of the game, but what happened on October 10, 2025, took things to a whole new level. Ethereum educator and founder of The Daily Gwei, Anthony Sassano (better known as @sassal0x on X), summed it up perfectly in a tweet that's been buzzing across the community. He called it one of the craziest and fastest downturns in crypto history, with Bitcoin (BTC) and Ethereum (ETH) holding up okay, but the long-tail altcoins—including many beloved meme tokens—getting absolutely hammered, dropping 70% or more, some even 95%. If you're into meme coins, this event is a stark reminder of just how risky this space can be.

The Tweet That Went Viral

Sassano's post quickly gained traction, racking up thousands of views and sparking heated discussions. Here's what he said: "Today was one of the craziest and fastest moves down in crypto history. BTC + ETH did relatively well compared to the long-tail of alts which nuked 70%+ with some even going down 95%+. I'm not usually into conspiracies, but clearly this was not normal market behavior." You can check out the full thread and replies here.

What makes this tweet stand out is Sassano's hesitation to jump on the conspiracy train—he's usually level-headed—but even he admitted something felt off. As an independent Ethereum advisor and angel investor, his insights carry weight, especially for those tracking meme tokens built on Ethereum or other chains.

What Sparked the Meltdown?

The crash wasn't random; it was triggered by escalating US-China trade tensions. President Donald Trump announced hefty new tariffs on China, including 100% duties and export controls, reigniting fears of a full-blown trade war. This sent shockwaves through global markets, but crypto got hit extra hard. Bitcoin tumbled about 10%, dipping below $110,000 at one point, while major alts like ETH, Solana (SOL), and XRP crashed 15-30%.

The real pain came from massive liquidations—over $7.5 billion in leveraged positions wiped out in just an hour. In crypto, liquidation happens when borrowed funds (leverage) can't cover losses, forcing automatic sales that snowball into a cascade. Think of it like a domino effect: one big sell-off triggers margin calls, which trigger more sales, and suddenly everything's in freefall. Traditional finance has circuit breakers to pause trading during big drops, but crypto doesn't, making it way more exposed.

Meme Coins Took the Brunt

Meme tokens, those fun, community-driven coins often inspired by internet jokes or trends, were among the hardest hit. These are typically in the "long-tail" Sassano mentioned—smaller, more speculative assets with less liquidity. Reports show some BNB Chain meme coins plunging 60-95% in a day, fueled by rug pulls (when devs abandon a project and run with the funds) and general panic.

Popular ones like Dogecoin (DOGE), Shiba Inu (SHIB), and Pepe (PEPE) dropped over 5%, but in the broader meme sector, losses were steeper. For instance, the overall meme coin market cap shed billions, with many tokens syncing up in the downturn because traders use cross-margin trading—where one position's loss affects your whole portfolio. If you're holding a basket of memes on leverage, one bad move can wipe everything out.

This isn't new for memes; they're high-risk, high-reward. But with perps (perpetual futures contracts) becoming popular for alts, it amplified the chaos. Whales (big investors) don't spread bids evenly; they pick favorites, leaving smaller tokens vulnerable.

Community Takes and Theories

The replies to Sassano's tweet paint a picture of a community in shock but trying to make sense of it. One user, @Leo_Glisic, chalked it up to unwinding leverage causing cascades, noting crypto's lack of regulations compared to traditional markets. Another, @lui2gi, pointed to on-chain perps and cross-margin baskets full of "shiny scams" as the culprit.

Others echoed suspicions, with @HotSpicyFarts yelling (in all caps) for people to stop leveraging and just buy spot (actual coins) and hold. There were nods to efficiency in DeFi (decentralized finance) and even quotes from other posts suggesting the sheer number of alts with perps made this inevitable.

Binance's Changpeng "CZ" Zhao called it a "blood bath" amid FUD (fear, uncertainty, doubt), and with rug pulls like the OracleBNB incident on BNB Chain costing investors over $1.2 million, it's clear memes are in a fragile spot.

Lessons for Meme Token Enthusiasts

If you're building or investing in meme coins, this crash is a teachable moment. First, ditch heavy leverage—it's a fast track to liquidation city. Stick to spot buys if you believe in the project long-term. Second, diversify, but not just across memes; mix in stables like BTC or ETH for balance.

Also, stay informed on macro events. Trade wars aren't just stock market drama; they ripple into crypto hard. Tools like on-chain analytics can help spot whale movements early. And remember, memes thrive on hype, but hype fades fast in panic.

At Meme Insider, we're all about demystifying this space. Whether you're a blockchain newbie or a seasoned trader, events like this highlight the need for solid research. Keep an eye on our knowledge base for more on surviving volatility in meme tokens. What do you think caused the "unnatural" feel Sassano mentioned? Drop your thoughts in the comments!