The cryptocurrency market is under significant pressure following the Trump administration's new tariffs. The fall of major cryptocurrencies raises questions about the future.
Impact of Tariffs on the Crypto Market
Within a day, Bitcoin lost 10%, dropping to $83,700, and Ether fell by 15% to $2,082, an unprecedented low since November 2023. New tariffs on Canada, Mexico, and Chinese imports by Trump have triggered panic. Cryptocurrencies are proving to be highly sensitive to geopolitical shocks.
Cryptos and Recession: Complex Prospects
Cryptocurrencies are demonstrating their sensitivity to macroeconomic tensions. New tariffs could amplify the crisis. PMI indices are disappointing, orders are down, and a recession is forecasted. Investors are exiting the market, withdrawing investments from Bitcoin and Ether funds.
Crypto Market Correction: What Lies Ahead?
The question arises about the validity of the current correction. Capital inflow stops after a 600% rise since 2022. According to Peter Chung from Presto Research, a cooling was inevitable, but the duration of this period depends on future political decisions.
The situation in the crypto market remains uncertain. Upcoming political decisions and possible support measures will be key to stabilizing the market.
