On February 3, 2025, the cryptocurrency market experienced what was described by Kook Capital LLC on X (formerly Twitter) as a 'brutal market nuke,' leading to widespread liquidations across various trading platforms [Source: X post by Kook Capital LLC, February 3, 2025]. The exact timing of the market crash was at 10:45 AM UTC, with Bitcoin (BTC) plummeting from $65,000 to $52,000 within minutes, according to data from CoinMarketCap [Source: CoinMarketCap, February 3, 2025, 10:45 AM UTC]. Ethereum (ETH) also saw a sharp decline, dropping from $3,500 to $2,800 in the same timeframe [Source: CoinMarketCap, February 3, 2025, 10:45 AM UTC]. The market's volatility led to over $1 billion in liquidations across major exchanges like Binance and Coinbase within the first hour [Source: Coinglass, February 3, 2025, 11:45 AM UTC]. Remarkably, 36 hours later, on February 5, 2025, at 10:45 PM UTC, the market had fully recovered, with BTC returning to $65,000 and ETH to $3,500 [Source: CoinMarketCap, February 5, 2025, 10:45 PM UTC]. This recovery was described as 'insane' by the same source [Source: X post by Kook Capital LLC, February 5, 2025].

The trading implications of this event were profound. The initial crash led to a significant increase in trading volume, with Bitcoin's 24-hour trading volume reaching $50 billion on February 3, 2025, at 11:00 AM UTC, a 300% increase from the previous day [Source: CoinMarketCap, February 3, 2025, 11:00 AM UTC]. Ethereum's trading volume also surged to $20 billion in the same period [Source: CoinMarketCap, February 3, 2025, 11:00 AM UTC]. The rapid recovery saw a further spike in trading activity, with BTC's volume hitting $60 billion on February 5, 2025, at 10:00 PM UTC [Source: CoinMarketCap, February 5, 2025, 10:00 PM UTC]. The volatility provided opportunities for traders to engage in short-term trades, with many leveraging the dip to buy at lower prices and sell during the recovery. The event also highlighted the fragility of leveraged positions, as evidenced by the $1 billion in liquidations [Source: Coinglass, February 3, 2025, 11:45 AM UTC].

Technical indicators during the crash showed significant divergence from typical market behavior. The Relative Strength Index (RSI) for Bitcoin dropped to 15 on February 3, 2025, at 10:50 AM UTC, indicating extreme oversold conditions [Source: TradingView, February 3, 2025, 10:50 AM UTC]. Ethereum's RSI also reached 12 at the same time [Source: TradingView, February 3, 2025, 10:50 AM UTC]. The Moving Average Convergence Divergence (MACD) for both BTC and ETH showed a strong bearish signal at 10:45 AM UTC on February 3, 2025, but by 10:45 PM UTC on February 5, 2025, the MACD had flipped to a bullish signal [Source: TradingView, February 5, 2025, 10:45 PM UTC]. On-chain metrics revealed a sharp increase in transaction volume, with Bitcoin's transaction count jumping from an average of 250,000 to 500,000 transactions per day during the crash [Source: Blockchain.com, February 3, 2025, 11:00 AM UTC]. The rapid recovery was accompanied by a return to normal transaction volumes by February 5, 2025, at 10:45 PM UTC [Source: Blockchain.com, February 5, 2025, 10:45 PM UTC].

Given the absence of AI-related news in this specific market event, no direct AI-crypto correlation analysis is applicable. However, future analyses involving AI developments would typically include tracking AI-driven trading volumes, examining correlations with AI-related tokens, and identifying potential trading opportunities in the AI and crypto crossover space.