Bitcoin slips below $86K as Trump’s new auto tariff announcement rattles markets. Major altcoins like Ethereum, Solana, and Dogecoin drop sharply
📉 Bitcoin and Major Altcoins Suffer Sharp Declines
The cryptocurrency market faced a broad-based decline on Friday, with Bitcoin (BTC) falling below the $86,000 mark. At 12:07 PM IST, Bitcoin was trading at $85,925, marking a 1.8% drop in the past 24 hours. Ethereum (ETH) also slid 5.1%, settling at $1,923.
📊 Market Overview:
- Bitcoin Price: $85,925 (↓ 1.8%)
- Ethereum Price: $1,923 (↓ 5.1%)
- Total Market Capitalization: $2.79 trillion (↓ 2.35%)
- Bitcoin Dominance: 61.08%
- 24-Hour Bitcoin Trading Volume: $26.42 billion (↓ 0.55%)
- Stablecoin Trading Contribution: 97.17% of total crypto trading ($79.01 billion)
📉 Altcoin Performance
Several major altcoins also experienced notable declines:
- XRP: $191 (↓ 6.26%)
- Solana: (↓ 3.7%)
- Dogecoin: (↓ 7%)
- Cardano: (↓ 4.4%)
- Chainlink, Avalanche, Hedera, Shiba Inu, Stellar: Declines ranged between 2% and 7%.
📉 Why Are Cryptos Falling?
The sudden dip in the crypto market is attributed to U.S. President Donald Trump’s announcement of a 25% tariff on auto imports, set to take effect next week. This move has stirred concerns over a potential trade war, causing a ripple effect across risk-on assets like cryptocurrencies.
According to Avinash Shekhar, Co-Founder & CEO of Pi42:
“Market sentiment is volatile, driven by macroeconomic factors like Trump’s auto tariff action.”
📈 Expert Analysis & Predictions
Vikram Subburaj, CEO of Giottus
“Bitcoin remains range-bound around $87,000 amid renewed US tariff concerns. Crypto and other risk-on markets will likely be volatile leading into and after this deadline.”
Riya Sehgal, Research Analyst at Delta Exchange
“Bitcoin attempted a recovery above $86,800 but is struggling to break resistance at $88,000–$88,200. A breakout above these levels could reignite bullish momentum, but until then, downside risks persist.”
Additionally, Sehgal noted:
“Trump’s tariff announcement has injected volatility across markets. With the PCE Index data release today, traders are bracing for potential macro sentiment shifts.”
📌 Conclusion
The market remains highly sensitive to global economic developments, particularly those involving major economic powers like the U.S. and China. Bitcoin’s struggle to break resistance levels suggests cautious trading ahead.
Investors should keep a close eye on macroeconomic indicators and policy announcements that may impact broader market sentiment.
