The crypto market today experiences a significant downturn, with the global market cap dropping by 4.90%. This comes amid a surge in trading volume and heightened panic selling. The Fear & Greed Index has fallen to 29, indicating a shift toward fear among investors.
Political Uncertainty's Impact
Market sentiment was shaken by former U.S. President Donald Trump’s announcement regarding import tariffs on Canada and Mexico. The anticipation of the 30-day pause expiration adds new uncertainties to the global economy. Consequently, over $914 million worth of positions were liquidated in 24 hours. Investors are concerned about potential ripple effects on financial markets, with crypto expected to be among the hardest hit.
Bitcoin & Altcoins Under Pressure
Bitcoin’s price plunged by 4.03%, bringing its level down to $91,839.04. With a dominance of 61.1%, its downturn significantly impacted the broader crypto scene. Ethereum, Solana, and XRP also encountered sharp declines, losing 8.24%, 12.02%, and 8.41%, respectively.
Top Gainers & Losers
Despite the broader decline, some assets marked gains. IP token saw an increase of 27.20% in the last 24 hours. DEXE and PAXG also posted gains of 4.51% and 0.28%, respectively. On the other hand, Lido DAO led the decline, dropping 14.48%, followed by SUI and AAVE with losses of 14.31% and 14.25%, respectively.
The crypto market is under pressure from political and economic factors. Declining market capitalization and prices of leading cryptocurrencies raise concerns among investors, which could have long-term impacts on the market.
