Markets took a significant hit on Monday following President Trump’s announcement of major new tariffs aimed at addressing the trade imbalance with China. In response, China retaliated swiftly, imposing a 34% tariff on all U.S. imports, covering key exports like agricultural products, automobiles, and chemicals, effective April 10. The escalating tensions have left investors concerned about the potential for a prolonged trade war.
Bitcoin has experienced a sharp drop of over 10%, falling below $75,000, just a day after reports suggested it was decoupling from the S&P 500 and behaving more like a safe haven asset. This decline follows President Donald Trump’s announcement of sweeping global tariffs. Despite his pro-crypto stance, including appointing supportive regulators and endorsing digital assets, the economic uncertainty sparked by the tariffs is shaking investor confidence. Many are now reconsidering their positions as the crypto market feels the impact of these developments.
Bitcoin, Ethereum, XRP, ADA, Solana, and Dogecoin have taken a major hit today, dropping between 7% and 10%. With liquidations exceeding $950 million, some analysts are now questioning Bitcoin’s status as “digital gold” and a reliable safe haven asset.
Why is the Crypto Market Crashing Today?
Bitcoin (BTC) Down Over 10%
Bitcoin has dropped 10% in the last 24 hours, sitting at a critical support level of $73,800. Trading volume has surged by 310% to over $44 billion, with 24-hour liquidations reaching $350 million, according to Coinglass. Analysts caution that a break below $73,800 could trigger a more significant correction.
Today’s market crash saw $985 million liquidated, shaking the crypto industry. Bitcoin dipped below $75,000, while major altcoins like XRP, SOL, and ETH plunged around 15%. The sell-off highlights the extreme volatility of digital assets as investors navigate ongoing regulatory and economic challenges. This sharp decline is a clear reminder of the unpredictable and high-risk nature of the crypto market.
Altcoins Take a Big Hit, Ethereum (ETH) Crashes 20%
Altcoins are facing significant losses as the cryptocurrency market sees a major downturn. Ethereum (ETH), the second-largest cryptocurrency by market cap, has plummeted 20% to $1,430, marking a staggering 58% decline since the start of the year.
Analysts warn that ETH could fall further, with potential support levels between $1,100 and $1,300. Despite this, some whale activity suggests larger investors are buying the dip, signaling optimism for a potential recovery.
XRP has dropped 22%, dipping below $2 and nearing new lows at $0.65, raising concerns among investors about further declines. Similarly, Solana (SOL), a blockchain known for its speed and scalability, has fallen 19% to $96. Dogecoin (DOGE), the meme-inspired cryptocurrency, is also under pressure, down 21% to $0.1315, as market sentiment across altcoins turns bearish.
Is The Bull Run Over?
CryptoQuant CEO Ki Young Ju recently shared on X that the bull market may be over, citing on-chain data. He highlighted a rising Realized Cap and stagnant market cap as indicators that bears are in control. According to Ju, this downtrend could persist for up to six months, dampening hopes for a quick recovery.
Meanwhile, long-term investors remain optimistic despite price fluctuations. Bitwise CEO Hunter Horsley emphasized Bitcoin’s growing importance as global trust erodes and cross-border business becomes more challenging. He stated that Bitcoin’s role as a neutral, decentralized, and borderless asset has never been more critical.
Also Read: What’s the Next Big Move? This Crypto Has Traders Preparing for a Surge
Disclaimer
The information in this article should not be considered financial advice, and the OvenAdd platform is intended only to provide educational and general information. Please conduct your own research and consult a financial advisor before making any investment choices.
