The crypto market has been pummeled as Donald Trump’s tariffs shock the markets, sending an array of assets spiraling. Bitcoin (BTC) is down nearly 7% over the past 24 hours after struggling to stay above $100,000. The flagship cryptocurrency is trading below $93,000 and could drop further, with expectations of the price tanking to $90,000. Markets braced for volatility as the week began, with stocks plummeting and triggering massive crypto liquidations.
With markets plummeting, altcoins have registered some of the biggest 24-hour declines in recent memory. Ethereum (ETH) fell a staggering 20% over the past 24 hours, while Ripple (XRP) is down nearly 25%, with prices in freefall. Solana (SOL) is down over 8%, and Dogecoin (DOGE) is down 25%. Cardano (ADA) has seen an even bigger drop, with the price down nearly 27%. Chainlink (LINK), Stellar (XLM), Toncoin (TON), Polkadot (DOT), Tron (TRX), and Litecoin (LTC) have also registered significant declines. As a result, the crypto market cap is down nearly 10% and could slip below $3 trillion if the bloodbath continues.
Markets Reeling After Trump Tariffs Kick In
Global and crypto markets fell off a cliff as Donald Trump’s tariffs brought turmoil and widespread panic. The drop triggered concerns about prolonged high interest rates. Dow futures are down over 1%, while the S&P 500 and Nasdaq futures are down 1.9% and 2.7% respectively. Trump has announced 25% tariffs on Mexican and Canadian goods and 10% levies on Chinese imports. The crypto market has also seen a significant slump, with Bitcoin (BTC) down almost 7% and ETH down 20%. Other major altcoins, including XRP and DOGE, are down over 20% as well. The crypto markets trade around the clock and have become early indicators of market sentiment. The substantial decline hints markets could plummet further when US markets open.
The market turmoil comes before a crucial earnings week, with over 120 S&P 500 companies set to report crucial results. Analysts have warned that sustained bearish sentiment and trade tensions could substantially impact corporate profits and growth expectations. Ryan McMillin, Chief Investment at Merkle Tree Capital, stated,
“There was always going to be extra volatility early on, Trump says he is trying to stop the flow of fentanyl coming across from Mexico and Canada. In the short term, we’ve bottomed. Market makers have used this tariff news cycle to sweep the leveraged longs and there is now very little liquidity worthy of pushing price lower.”
Coinglass data showed over $2.1 billion in crypto liquidations over the past 24 hours as BTC slumped below $100,000. BTC dipped to a low of $93,000 while ETH went below $2,500 as bearish sentiment intensified. The tariffs will also result in heightened inflation, dampening investor sentiment.
“We’re already seeing signs of heightened market volatility, as BTC’s 30-day implied volatility has risen by 4% to 54% in the wake of these tariffs and the broader economic uncertainty.”
Investors are concerned the tariffs could force the Federal Reserve to maintain higher interest rates thanks to increased inflationary pressure. Pav Hundal, lead analyst at Swyftx, stated,
“The fact is we are just entering a period of unprecedented political support for crypto, and there is a huge degree of uncertainty around how the tariff war will play out. We have U.S. non-farm payrolls and unemployment rate data this week, and I expect the market to be hyper-sensitive to any surprise to the upside or downside. We will have more clarity very soon on the likelihood of any risk to rate cuts.”
Is More Trouble Ahead?
The crypto market is witnessing an unprecedented meltdown as markets go into risk-off mode. Major tokens have dropped 20% or more as traders let go of risk and speculative assets. The meltdown in the crypto market has also impacted global equities, with retail traders offloading profitable positions. With the current conditions, the Fed could be forced to keep interest rates unchanged as it struggles to constrain inflation thanks to the tariffs.
India To Review Stance On Crypto
India is reviewing its position on crypto due to a shifting perception of digital assets in other countries. The review comes after several crypto-friendly policy announcements by the Trump administration, further delaying the publication of a discussion paper on crypto originally set to be released in September 2024. India’s Economic Affairs Secretary, Ajay Seth, stated,
“More than one or two jurisdictions have changed their stance towards cryptocurrency in terms of the usage, their acceptance, where do they see the importance of crypto assets. In that stride, we are having a look at the discussion paper once again.”
Indians have poured money into crypto despite the country’s tough stance on crypto. The country’s Financial Intelligence Unit (FIU) issued show-cause notices to several major crypto exchanges for failing to comply with local laws and regulations. Binance was slapped with a fine of $2.25 million a month after it registered with the FIU to resume operations in the country. India’s market watchdog has recommended that several regulators oversee crypto.
Bitcoin (BTC) Price Analysis
Bitcoin (BTC) slipped to a low of $91,000, falling sharply after a broader decline thanks to the imposition of tariffs on Canada, Mexico, and China. Trump has vowed to impose tariffs on other nations including the EU. Trump’s tariffs have offset the prospect of friendlier crypto regulations and administration. Trump’s executive order calling for a regulatory framework for crypto also saw very little enthusiasm. BTC slipped below the 20-day SMA over the weekend and plummeted below the 50-day SMA on Sunday as bearish sentiment intensified across markets thanks to Donald Trump’s tariffs. BTC bears have taken the lead, pushing the flagship cryptocurrency below key levels on Sunday and during the ongoing session. If BTC continues to decline, it drop to $90,000. If the bears overwhelm this level, we could see a drop to $80,000-$85,000.
BTC experienced significant volatility in the days leading up to its current collapse. BTC was bearish most of the previous week after dropping significantly on Sunday. The price plummeted on Monday as BTC tanked to an intraday low of $97,766, thanks to DeepSeek. The price recovered from this level to reclaim $100,000, ultimately settling at $102,064, registering a drop of nearly 1%. Sellers retained control on Tuesday, and BTC dropped 0.69% to $101,362, but not before hitting an intraday low of $100,190. Buyers returned to the market on Wednesday as BTC rose over 2% and settled at $103,666. BTC attempted a move past the resistance at $106,000-$107,000 on Thursday as it reached an intraday high of $106,332 before losing momentum. The price ultimately settled at $104,559, an increase of 0.86%.
Source: TradingView
Bearish sentiment returned on Friday as sellers drove BTC down nearly 2% after bulls lost momentum, with the price settling at $102,616. Sellers retained control on Saturday, and BTC dropped 1.54% to slip below the 20-day SMA and settled at $101,041. Bearish sentiment intensified on Sunday as BTC slipped below $100,000, falling over 3% and settled at $97,882. BTC slumped to an intraday low of $91,281 during the ongoing session as markets tanked thanks to Donald Trump’s tariffs against Canada, Mexico, and China taking effect. With traders abandoning risk assets, the crypto market plummeted, dragging BTC and other altcoins down. BTC has recovered from its intraday low and is currently trading above the $95,000 mark. However, sentiment seems unlikely to change unless BTC reclaims the $100,000 price level.
If BTC continues to drop, it could slip to $90,000. If bears push it below this level, a drop to $85,000 can be expected. The RSI is at 38, way below the neutral zone, indicating a strong bearish sentiment. The MACD is also bearish, indicating a strong downtrend and a further correction.
Ethereum (ETH) Price Analysis
Ethereum (ETH) tanked nearly 20% over the past 24 hours, slipping below $3,000 over the weekend. Bearish sentiment intensified during the current session as ETH fell to an intraday low of $2,143 before recouping some losses and moving to its current level of $2,538. If sellers retain control and markets fail to recover, ETH could slip below $2,000 and test the $1,900 support level. The altcoin had been trading in a descending channel, but its decline has taken the price below key support levels and moving averages.
ETH started the previous week in the red as it fell to an intraday low of $3,020 before recovering and settling at $3,183, recording a drop of 1.51%. Sellers retained control on Tuesday as the price dropped over 3% to $3,077. However, ETH found support at this level and recovered on Wednesday, rising just over 1% and moving to $3,114. Bullish sentiment increased on Thursday as ETH rose over 4% and settled at $3,248. Buyers attempted a move past $3,500 on Friday as ETH rallied to an intraday high of $3,442. However, it lost momentum after reaching this level and fell to settle at $3,300, an increase of 1.61%.
Source: TradingView
With sellers active at this level, ETH fell back in the red on Saturday, dropping nearly 6% to slip below the 20-day SMA and settle at $3,117. Bearish sentiment intensified on Sunday as ETH slipped below the 200-day SMA and $3,000, falling nearly 8% to $2,869. Monday saw crypto and traditional markets tank as Trump’s tariffs took effect. As a result, ETH plummeted to an intraday low of $2,143. However, it recovered from this level, recouping losses to climb above $2,500 and moving to its current level of $2,561. ETH remains down by nearly 11%, with indicators flashing bearish. The RSI currently sits at 28, while the MACD is also bearish. If sellers retain control, ETH could slip below $2,000 over the next few days. Buyers must keep ETH above $2,500 to spark a recovery and push the price above $3,000.
Solana (SOL) Price Analysis
Solana (SOL) is down nearly 10% over the past 24 hours as the crypto market witnesses a bloodbath brought on by Trump’s tariffs. SOL is down 15% over the past week, with on-chain metrics and technical outlook suggesting a continuing bearish trend. With selling pressure growing over the weekend, SOL also witnessed significant liquidations, weighing down the price further. SOL’s correction began on Friday, and markets began a correction that intensified over the weekend. Data from Coinglass shows $84 million in liquidations for SOL, sparking fear in investors.
Last week saw similar sentiment as SOL fell to an intraday low of $220 before recouping losses and settling at $235, a drop of 2.22%. Sellers retained control on Tuesday as SOL fell 3.45% to $226. SOL rose to an intraday high of $238 on Wednesday as buyers attempted a recovery. However, it lost momentum after reaching this level, dropping to $228 and registering only a marginal increase. Buyers retained control on Thursday as SOL rose 4.47% to move past the 20-day SMA and settle at $238. However, sentiment changed on Friday as the price dropped nearly 3% to $231.
Source: TradingView
Selling pressure intensified on Saturday as SOL slipped below the 20-day SMA after dropping over 8% and settled at $213. SOL slipped below the 50-day SMA on Sunday, falling 4.53% to $203 as markets braced for a bearish Monday. Sure enough, SOL plummeted to an intraday low of $176 during the ongoing session as markets tanked. However, SOL recovered from this level and is trading just below $200 as bulls attempt to wrest control. If sellers retain control and SOL continues its decline, it could slip below $180. A drop below this level could drag it to $170. SOL must reclaim $200 to prevent a further decline. The RSI is below the neutral level and pointing downward, indicating bearish sentiment. The MACD is also bearish, suggesting a downward trend.
Ripple (XRP) Price Analysis
Ripple (XRP) fell below its ascending trendline on Sunday as bearish sentiment took hold. XRP is down 18% over the past 24 hours, but buyers are trying to claw back and reclaim $2.50. XRP faced significant volatility the previous week, dropping to an intraday low of $2.65 on Monday before settling at $3.05. Tuesday and Wednesday saw marginal increases as buyers struggled to build momentum and push XRP higher. Buyers exerted influence on Thursday as XRP rose nearly 2% and settled at $3.12. However, bearish sentiment returned on Friday as XRP fell 3%, slipping below the 20-day SMA and settling at $3.03.
Source: TradingView
The price slipped below $3 on Saturday after dropping over 5% and settling at $2.87. Bearish sentiment intensified on Sunday as XRP slipped below its ascending trendline, dropping over 10%, falling below the 50-day SMA, and settling at $2.57. With markets witnessing a significant decline, XRP plummeted to an intraday low of $1.77 before recovering to reclaim $2 and move to its current level of $2.38. If XRP continues to decline, it could slip below $2, possibly dropping as low as $1.50. On the other hand, buyers will look to push XRP above the 50-day SMA and reclaim $2.50. The RSI is well below the neutral zone and pointing downwards, indicating bearish sentiment. The MACD is also bearish, meaning XRP could see a further downtrend.
Dogecoin (DOGE) Price Analysis
Dogecoin (DOGE) slipped below a key support level last weekend and fell to an intraday low of $0.305 on Monday. It recovered from this level to settle at $0.334, registering a marginal decline. Sellers retained control on Tuesday as DOGE fell over 4% to $0.319. The price recovered on Wednesday, rising nearly 2% and settling at $0.324. Buyers retained control on Thursday as DOGE rose almost 2% to $0.331. However, DOGE could not move past the moving averages, and sentiment changed on Friday as the price registered a marginal decline.
Source: TradingView
The weekend saw bearish pressure intensify as DOGE dropped over 6% on Saturday and settled at $0.308. Bearish sentiment registered a substantial increase as DOGE fell over 13% on Sunday, slipping below a key support level and settling at $0.267. DOGE dropped to an intraday low of $0.202 during the ongoing session as markets tanked, briefly going below the 200-day SMA. However, it recovered from this level, trading around $0.250, down nearly 7%.
Internet Computer (ICP) Price Analysis
Internet Computer (ICP) has struggled to move past the 200-day SMA, with the price consistently being rejected from that level. The price fell to an intraday low of $8.07 before recovering to register a marginal increase. However, it fell on Tuesday, dropping nearly 4% and settling at $8.52. Wednesday saw a marginal increase as ICP rose to $8.58 despite facing volatility. Bullish sentiment intensified on Thursday as ICP rose 6% to $9.12. ICP reached an intraday high of $9.76 on Friday as buyers looked to push the price above the 200-day SMA. However, it lost momentum after reaching this level and ultimately settled at $9.29, rising nearly 2%.
Source: TradingView
Sentiment changed on Saturday as ICP plummeted 8%, slipping below $9 and settling at $8.51. Bearish sentiment intensified on Sunday as ICP fell over 12%, dropping below a key support level to $7.48. Bears tightened their grip on the market during the current session as the price dropped to an intraday low of $5.60. However, it recovered from this level to trade around $6.86 as buyers attempt to reclaim $7.
Bittensor (TAO) Price Analysis
Bittensor (TAO) has seen a significant decline since the weekend after facing substantial volatility last week as buyers struggled to move past key moving averages. TAO saw unprecedented volatility on Monday as it rose to an intraday high of $509 and fell to an intraday low of $386 before settling at $446. Tuesday saw a marginal increase, and TAO rallied to an intraday high of $497. However, it lost momentum after reaching this level, dropping to $447 on Wednesday after a marginal decline. The price recovered on Thursday, rising 1.21% to $453 before falling 0.97% on Friday.
Source: TradingView
TAO plummeted over the weekend as sentiment changed, dropping over 12% on Saturday to slip below the 20-day SMA and $400 to settle at $393. Sellers retained control on Sunday as the price fell nearly 11%, falling below a key support level and settling at $350. The current session saw TAO drop to an intraday low of $237 before recovering and moving to its current level of $326.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
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