October 2025 Bitcoin CRASH!

Hi. So I've been meaning to shoot this video because we've had a lot of people asking us how the Minotaur trading system has performed during the October crash. I'm going to dive into the performance, how we handled it, and also just taking a look at what the market is doing, how it's moving, and why having an algorithm is in our opinion is the best way to trade these markets. As, as you can see from some of these news articles, this was an absolutely huge event. Let's just take a look at what some people have to say. It shattered crypto's pumptober dreams. Price right now is around 108, so that definitely is still possible. It was a flash crash so severe that it made the FTX collapse look tame by comparison. So the reason I want to talk about it is of course, if the algorithm can survive the worst crash in crypto's history, in bitcoin's history, what does that look like? And we're going to dive into that, but let's just take a look at what exactly happened. So it was a $10,000 price dump in a few minutes. But the biggest difference here is altcoins looks like, look like they suffered from 50 to 75%. I know chainlink was around 80%, bitcoin, you know, 10%. This is one of the reasons why we only trade bitcoin. Altcoins just, you know, no, no one can predict how far these things can fall. They're volatile to a point where it's extremely dangerous, unpredictable. And bitcoin trades smartly and conservatively can generate good enough returns in our opinion. So what happened here? Over leverage and easy access. I'm going to discuss over leverage by taking a look at some of the heat maps from the October crash. So let's go back to rewind to the 10th of October and what we've actually got here is this huge liquidity pool building actually since around come all the way back, actually June of this year. So what does that tell you? Well, it's the classic market maker move. What happened is we had a period of consolidation, we had some internal liquidity building up, but also this huge pool here that was building up. And when the opportunity came to take out this pool of 25x there, market makers basically erase the liquidity. It was letting this huge pump down to basically capture this huge block that was been showing up there from June. So, you know, news does affect the market, but it's also called, here we go, the Black Friday Bitcoin's Black Friday In October, as geopolitical tensions rock crypto markets. So everyone's looking at the news item that caused the dump. Whereas if we really look at the data, we can see that the evidence of, you know, this liquidity has been building up for quite a long time. Without this liquidity there, this dump couldn't have happened. Obviously we need to have the liquidity there, we need to have traders stuck in these positions in order for the price to move down. There is an element of control to sort of remove that liquidity, to create the move to begin it. But then once these orders get executed, it basically has a life of its own. You can see especially these red hot ones here. So you can see this pool as well there. And then all the way back down, we've taken out this whole thing. So I also want to look at that now. Right now in the market we're at 108 and just take a look at what's going on now. The leverage here, 50 to 100x leverage. These things are just whipping back and forth. Shorters and then people longing and then shorting, shorting and longing. And the market makers just having absolutely wild time. This to me is like a roulette table where basically what's going on is, is the, the dealer is just, just sweeping all the chips in. This is a casino. This, this is how this is operating. These markets are 24 7, they're global, they're highly unregulated and there's a lot of huge, huge players that are making billions of dollars moving the markets in these ways. And what's going on is retail is getting absolutely wrecked. Twitter right now. X is very, very bearish. Sentiment is very bearish. If you see right now, probably going to go down to 104 if we're going to take out this big chunk. Yeah. If we have a look at 100x, it's looking like we could go down to these levels. I'm still quite bullish overall because I can see what's going on above all the way up into all time high. But anyway, that's another point. Let's look at the algorithm itself. So I'm going to come back to here and I've set. We're running right now on a 15 minute time frame and we're just going to play out October for you. So we're here at the beginning, end of September. Let's just play out October and see what it looks like. So there we go. That's what's called a base order. It's the initial position that we place and the orange line that's forming is the break even. And the green line there is a take profit which bang, we just hit there. We've taken profit on that trade. So again we start off with a small entry and then we take profit on that. The reason we start off with a small entry is because the bot, the algorithm is engineered to deploy capital efficiently in a very defensive way if the price moves against. So again, we took another profit there. These trades seem to be happening on a daily basis. At this point the price is moving steadily upwards. So again, there we go, another take profit there. So you know, in the space of four days, five days, we've entered, exited, entered, exited, enter and exited. So we basically we've, we've picked the move there. You know, we've entered and it's gone up bang, another one there. So this is really good counter. Intuitively though, we're not making the most amount of money because we do like to see some volatility in the price action. So we can actually layer in more trades so we can deploy, deploy more volume into the position. That way when we take profit, we're going to take profit on a larger position size. But anyway, you can't complain when you know, every day, every, it's looking like every day you're entering position and taking profit. So this is great. We're moving down to the 7th of October. So we can see now we've deployed two safety positions as the price has moved against us. And we can see that the green line there is our take profit that's reduced and that's a beautiful trade there. So we've had a base order, two safety orders and a take profit. So again that would have made probably close to, I wouldn't say three times, but at least maybe two times or two and a half what this made. But let's come into the crash now it's going to happen. We've got the base order, we've got a safety order there on that 1% deviation. We also use a step scale which is going to give us more depth in the trade. There we go, bang, bang. So we've entered that first position there. And the second position we didn't catch the bottom of the wick. It's actually quartered around there which is still pretty good. Have a look at the time on that. 9:15 at night. This position here was 5:15. So again, if you're manually trading this, very, very difficult. And the price has already pretty much recovered from that week from 105 on this chart, we're all the way back up to about 115 already. We got really close to take profit here. That would have been nice if we, if we'd done there and we'd reset. Because if we'd reset there, we would have been able to start walking the price further down. So again, you know, it's just patience, that's all. You just need to wait for the targets to be here. The best thing to do is just not intervene. Right? You don't want to intervene because everything's been preset to work. So we're going to see the market is doing its thing now. It's just sitting there. We're holding onto the trade. We are in a little bit of a drawdown, but that's okay because structurally everything's worked fine. And you can see we're only three trades deep. Here we go with the fourth safety order there. Right now this is deployed around 15% of margin only and we're probably using around 2 to 3x leverage. That's it. This is very, very, very, very low leverage trading because of the efficient way that we're using the capital. So now we've really brought our take profit price down aggressively to 113k. As you can see here, initial trade was around 122. So if we take profit at this point, we've actually made money from the market go down, going down using a long only strategy, which is one of the things that Minotaur is really proud of. As you can see here, we're going to now move up and hopefully take profit before we get to the 23rd, which is today. And obviously I know that we are, because I'm in the present and we're watching the past. Bang, there we go. So we've closed that deal now and you're going to see now we can actually reset at a lower price. So there's still a red is the downtrend going on there. So bang, we've entered another trade, another safety order. So I'm just going to stop it there because this is where we are right now. So let's load this up and let's just have a look. So really we've played this fantastically. As you can see, the algorithm has reacted and executed perfectly, using this crash to reduce our average price and then allowing us to actually exit and take profit at 113k. And then what we're doing now is we're entering again at 107. So you could probably tell by this is that we're able to walk the price down even further now. So here we're protecting from 122. Now that we've reset the trade, we're protecting from 107. So effectively we could walk the price all the way down to zero and we could walk it all the way up to a minion. That's the beauty of algorithmic trading grid bots. Any kind of mechanical bot is not going to be able to do this. You're going to need an algorithmic approach. Now, this isn't exactly DCA because we actually outperform DCA significantly. The reason is, as you can see, we're very good at picking these local bottoms and that's because we actually have indicators that give us these trends. And we're waiting to basically get either the mechanical DCA position or better. And most of the time our algorithm is able to get an or better position by relying on the technicals and really reverting back to the mechanical DCA as kind of like a trailing stop loss. So we get the minimum of the mechanical and a maximum entry of the technicals. And this is why we can get these really, really good buys. But October is shaping up to be an extremely interesting one. As you can see, we've already survived and recovered from the October bitcoin crash. And we're not really afraid of the price action because if we continue to go down, we're going to scale in defensively and if the market goes up, we're going to be entering and exiting, entering and exiting. And of course, I'm using my Bitcoin as collateral to trade with on the algorithm right now. So I get the full upside of the bitcoin and I also get the benefit of the profit from the trading. And at these prices, I'm pretty much converting the trading profits into Bitcoin as well, because I believe we have still Q4 to continue to go up. As you know, we're big fans of Giovanni Santostasi and the Power Law. We're also looking at the liquidity pools and I can quickly bring those up to show you because what I am seeing is still some significant pools forming. If we look at the 5x and 3x all the way up to around 155. So this stuff never gets left behind, really. We come back to earlier in the year. It was actually nearly this time last year in November when price broke to new all time highs. I remember the 59K Club. There's a 59K. Yeah, the 59K Club. That was going for a while. We're kind of stuck in that 100 to 120 zone now. But when the price broke out, you can see that top side liquidity, this is loading slowly. That top side liquidity always gets taken. And then we go into price. Price discovery is around 20% above that. So you can see this, this similar pull forming up here and it looks like that's going to get taken out as well. I'm just going to zoom in a little bit so you can see it. Let's have a look. If that loads anyway, you can see it there, it's all the way up to 154. So if we go beyond that could get us up to 180. I think we'd be pushing it there. I'll be very happy if we get to these levels, to be honest. 155, 160. But it is quite possible that euphoria kicks in and the market continues going upwards. So whatever you're doing, if you're a Hodler, if you're a trader, I believe algorithmic solutions are what are going to help you survive things like Bitcoin's Black Friday in October. One of the things that you've probably noticed if we bring up this is how the algorithm actually moves very similar way to the liquidity maps. If we bring these up here and show this one here with the 25X, yeah. You can see that the algorithm is able to basically benefit from these market making movements which are basically hunting liquidity, hunting retail traders. So we flick back into this, you can see we're able to take advantage. What we're doing here is volatility harvesting. You want to do that with a tool and you want a tool that is extremely structured and well engineered. So you need an element of design and you need extreme amounts of risk management. And that is how we incorporate what we do with Giovanni Santa Stasi and the Power Law. We've done lots of videos about that. So yeah, this is how Minotaur performed during the October Black Friday bitcoin crash. It barely blinked and it survived and it's continuing to make money for us and our clients. So if you want to learn more about it, use that QR code there and book a call and speak to some of our team. We do free consultation calls. We'll do a full demo. We'll show you everything that you need and if you're a good fit, we will begin working with you. So thanks a lot for watching this video and good luck with the rest of the year. And if you want to join any of our live streams. We're doing them weekly. And Marcus, Sebastian and Giovani will all and myself will all be talking about what we're seeing in the market, so make sure you check those out as well.