The crypto market is again under pressure as major assets like Bitcoin, Ethereum, and others have seen significant price drops. These market changes are related to economic news and US government actions.
Current Situation on the Crypto Market
As of today, Bitcoin has lost 10% of its value, Ethereum has decreased by 15%, and XRP has fallen by 17%. This massive sell-off is driven by concerns over tariffs announced by President Trump and potential recession.
Factors Affecting Price Drops
Analysts point to several reasons for the current downturn. In particular, Bitcoin's decline is related to the so-called CME gaps. Analyst Hardy noted that to fill current gaps, Bitcoin should drop to $85,000, with a larger gap expected at $77,900. Titan of Crypto also suggests this decline is a pullback before another rally.
Potential Consequences and Reactions
The market is also worried about the lack of details on the US Crypto Reserve. The announcement of including altcoins like Solana, Cardano, and XRP has caused mixed reactions. Amid escalating trade war, the US average tariff rate might reach the highest levels in decades.
In the current economic uncertainty, the crypto market is experiencing significant changes. Investors and analysts anticipate potential opportunities amid volatility, as the global economy adapts to new tariff conditions.
