The cryptocurrency market has experienced a significant decline following US President Donald Trump’s announcement of new tariffs on imports from Canada and Mexico, along with potential increased duties on goods from the EU.
Cryptocurrency Market Shakeup
Donald Trump's announcement of new trade tariffs has sparked a wave of liquidations in the cryptocurrency market, temporarily reducing the value of Bitcoin and altcoins, raising concerns regarding the potential loss of the bull market momentum.
Bull Market Volatility Analysis
IntoTheBlock's latest analysis reveals that Bitcoin’s recent sharp decline has left 7% of holders at a loss. In previous cycles, Bitcoin has experienced multiple pullbacks, with much steeper corrections observed. Nonetheless, these drops were within the historical norms of bull market volatility.
Market Cleanse: Opportunities for Investors
CryptoQuant's analysis suggests the latest events have led to a 'market cleanse'. Despite the panic selling, data shows aggressive buying, indicating a potential reversal as large investors look to strengthen their position during downturns.
The cryptocurrency market’s decline due to external economic factors aligns with historical volatility patterns, offering new opportunities for investors.
