‘National emergency’ as Trump’s tariffs dent crypto prices

Key Points

  • Crypto markets dipped after Trump's tariff announcement, with Bitcoin and Ether experiencing significant drops.
  • The crypto Fear & Greed Index indicated extreme fear following the tariff news.
  • Despite initial volatility, some recovery was observed in Bitcoin and Ether prices.
  • Analysts suggest that the tariff clarity might benefit markets in the long term by providing certainty.

Summary

The recent announcement by President Donald Trump of sweeping tariffs on all countries has significantly impacted the cryptocurrency market, leading to a dip in prices across the board. The tariffs, which include a 10% rate on all countries with higher rates for specific nations like China (34%), the EU (20%), and Japan (24%), were intended to address trade imbalances. Following the announcement, Bitcoin saw a brief rally but then fell by 2.6% to around $82,876, while Ether dropped over 6% to $1,797. The total crypto market cap also decreased by 5.3% to $2.7 trillion. Despite the initial market turmoil, some recovery was noted with Bitcoin and Ether regaining some ground. Analysts like David Hernandez from 21Shares suggest that while the tariffs introduced volatility, the clarity they provide could be beneficial in the long term by offering market certainty. However, the global response to these tariffs remains a critical factor for future market movements.

cointelegraph
April 3, 2025
Crypto
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