Greece's referendum bombshell totally hammered the markets today

European markets were a sea of red today, with losses across the board.

In the first trading session since Greek Prime Minister Alexis Tsipras dropped his referendum bombshell and put strict capital controls on the country's banks, stocks markets across Europe fell significantly, although they recovered slightly.

Look at this drop off on the Eurostoxx 50.

Analysts remarked that the slight recovery towards the tail end of the day may be down to denial of a Grexit.

"After that exceptionally heavy bout of selling in the first few minutes of trade this morning, London equities appear to have found a degree of stability," said Tony Cross, Market Analyst at Trustnet Direct.

"It's as if, despite the rhetoric, the market simply doesn't want to buy into the idea of a full blown Grexit, although to an extent it's difficult not to see this approach as clutching at straws."

Whether they believe it or not, investors are paying for their complacency after betting that Greece would seal a deal with its creditors imminently.

Look at all this red:

So what's next?

While investors may be reluctant to consider a full-on Grexit, its not clear how the markets may react tomorrow. Tsipras is said to be addressing the nation at 7 p.m. GMT (2 p.m. ET) today and what he says could have a huge impact on trading tomorrow.