The cryptocurrency market has found itself in the spotlight following a sharp decline triggered by the introduction of US import tariffs. As a result, $760 billion was erased in a short period.
Altcoins Take the Hardest Hit
Ethereum (ETH) plummeted 16%, hitting a low of $2,368 before rebounding to $2,552. Despite the recovery, ETH remains 38% below its peak. Other major altcoins like Avalanche (AVAX), XRP, Chainlink (LINK), and Dogecoin (DOGE) each saw drops of over 20% in the last 24 hours.
U.S. Tariffs Trigger Mass Asset Sell-Off
The sell-off was not isolated to crypto. Traditional markets also experienced a downturn: Nasdaq 100 futures fell 2.7% following the tariff announcement. S&P 500 and Dow Jones indices dropped 2% and 1.5% respectively. Geopolitical risks intensified 'Fear' sentiment among investors.
Uncertain Future for Cryptocurrency Market
The road ahead remains uncertain. While Bitcoin shows resilience, the crypto market's recovery depends on the stabilization of stock markets and resolution of trade tensions. Altcoins, in particular, face prolonged pressure.
While Bitcoin offers temporary refuge, the broader crypto market's recovery is awaited based on improved market conditions and easing of trade tensions.
