Bitcoin prices tumbled on Thursday as investors reacted to U.S. President Donald Trump’s sweeping new tariffs, triggering a global risk-off sentiment. The world’s largest cryptocurrency fell 0.8% to $83,421.50 by 01:32 ET (05:32 GMT), reflecting investor concerns over escalating trade tensions and potential economic fallout.
While Bitcoin is often viewed as a hedge against financial uncertainty, its correlation with risk assets remains strong. As global markets recoiled, cryptocurrencies followed suit, with investors shifting toward traditional safe havens like gold, which reached record highs in Asian trading.
Trump’s Tariffs Trigger Market Sell-Off
President Trump unveiled a 10% universal tariff on all imports, effective April 5, 2025, alongside steeper reciprocal duties on select trading partners.
Key tariff highlights:
- China: 54% total tariffs (including a new 34% surcharge)
- European Union: 20% tariffs
- Japan: 24% tariffs
- India: 26% tariffs
- Vietnam: 46% tariffs
- Foreign-made automobiles: 25% tariff, effective April 3, 2025
The move stoked fears of an all-out global trade war, leading to broad-based selling in equity and cryptocurrency markets. U.S. stock index futures plunged during Asian trading hours, while major Asian indices also suffered sharp losses.
Crypto Stocks and Altcoins Plummet
The risk-off sentiment spilled over into crypto-related equities, which posted steep losses in extended trading:
- Coinbase (NASDAQ: COIN): Down 7.5%
- Marathon Digital (NASDAQ: MARA): Down 7.3%
- Riot Platforms (NASDAQ: RIOT): Down 7%
- MicroStrategy (NASDAQ: MSTR): Down 4.6%
Most altcoins also followed Bitcoin’s downward trajectory:
- Ethereum (ETH): Down 1.2% to $1,832.57
- XRP: Down 0.2% to $2.0687
- Solana (SOL): Down 3.2%
- Cardano (ADA): Down 1.8%
- Polygon (MATIC): Down 3.5%
Among meme tokens, Dogecoin (DOGE) fell 1%, while $TRUMP, a token associated with the former president, slumped over 7%.
Sources & Methodology
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