The main event in recent days is US President Donald Trump's announcement of new tariffs on 185 countries. This decision immediately affected financial markets, including cryptocurrencies.
Trump's Tariffs and the Global Market
US President Donald Trump announced the implementation of new trade tariffs, causing significant market disruptions. These measures, affecting 185 countries, are the largest in US history. Within just 15 minutes of the announcement, S&P 500 futures lost approximately $2 trillion in market cap. It was initially reported that a 10% baseline tariff would be set, but Trump quickly clarified that rates would vary greatly among different countries. Exceptions included Canada, Mexico, and certain goods categories such as pharmaceuticals and semiconductors.
Crypto Market Reaction to Tariffs
News of the tariffs led to a substantial decrease in cryptocurrency prices. For instance, Bitcoin's price quickly fell from $87,000 to below $83,000. Similarly, Ethereum's value dropped from $1910 to $1800, and XRP fell from $2.17 to $2.01. Cryptocurrencies are usually highly sensitive to macroeconomic changes and global trade tensions, as during uncertain times, investors typically move from high-risk assets to more stable ones.
Bitcoin's Future After the Decline
According to analyst Ali Martinez, Bitcoin was previously holding a critical range between $86,900 and $84,800. However, breaking below this support level could mean further price corrections are likely in the near future. Traders and investors will need to adjust their strategies amid uncertainty caused by these tariff measures.
The new tariffs announced by President Trump have had a substantial impact on global markets and cryptocurrency prices. The future of the crypto market remains uncertain as investors continue assessing the economic consequences of such measures.
