Tradr 2X Long SNDK Daily ETF (SNXX) plummeted 25.72% intraday on Tuesday, as the leveraged exchange-traded fund significantly amplified losses during a severe global semiconductor sell-off.

The decline was driven by a broad collapse in Asian semiconductor stocks, with South Korea's KOSPI index plunging over 8% and triggering circuit breakers. Major semiconductor constituents like SK Hynix fell more than 10% and Samsung Electronics dropped over 7%, as investors aggressively unwound positions in AI-driven technology names. Korean regulators also issued stern warnings about leveraged single-stock ETFs, stating these products primarily benefit securities firms at the expense of retail investors, and announced coordination with exchanges to assess enhanced monitoring measures.

The sell-off followed the unwinding of what was identified as the most crowded trade in global market history—long semiconductors. Prior to the crash, leveraged semiconductor ETFs had seen massive asset growth, which amplified the downside pressure across the sector when positions were liquidated.