News View Non-AMP

Why is Crypto Crashing Today? Bitcoin, Ethereum Fall Amid Trade War Fears

Published by
Nidhi Kolhapur

Markets tumbled on Monday after President Donald Trump dropped a bombshell—announcing sweeping new global tariffs. China wasted no time in hitting back, imposing a steep 34% duty on all U.S. imports starting April 10. The fast-escalating trade war has spooked investors and sent shockwaves through global markets.

But it’s not just stocks feeling the heat.

Let’s understand.

Bitcoin Breaks Down

Just a day ago, Bitcoin seemed to be breaking away from the stock market, acting more like a safe haven. But that view was short-lived. After Trump’s announcement, Bitcoin plunged over 10%, falling below $78,000.

This drop comes despite Trump’s pro-crypto stance, including the appointment of crypto-friendly regulators and support for digital assets. Still, the growing economic uncertainty is shaking investor confidence, and many are now rethinking their positions as the impact of tariffs begins to hit the crypto space.

It’s a bloodbath out there!

Bitcoin, Ethereum, Solana, and Dogecoin are all deep in the red, with losses between 6% and 16%. More than $900 million has been liquidated across the crypto market. This sharp sell-off has led some analysts to question Bitcoin’s image as “digital gold” and a safe haven during global turmoil.

Is the Worst Over?

Bitcoin is down 6.9% in the past 24 hours and is currently sitting near a key support level at $77,500. Trading volume has surged 220%, reaching over $44 billion. According to Coinglass, Bitcoin liquidations have hit $322 million in the last day. Analysts warn that if BTC drops below $77,500, it could trigger a deeper correction.

Altcoins Hit Hard: Ethereum, XRP, Solana, and Dogecoin Sink

Altcoins are taking even heavier losses:

  • Ethereum (ETH) is down 13.5%, now at $1,550 and over 53% lower for the year. Some investors fear it could drop to the $1,100–$1,300 range, though whale activity suggests some are buying the dip.
  • XRP has tumbled 14.5%, falling below $2, with a possible slide toward $0.65.
  • Solana (SOL) is down 14% to $102.
  • Dogecoin (DOGE) has plunged 16% and is now trading at $0.143.

The altcoin market is clearly under heavy pressure as confidence fades.

Is the Crypto Bull Run Over?

CryptoQuant CEO Ki Young Ju recently posted on X that the bull market could be ending. He pointed to on-chain data showing a rising Realized Cap and a flat market cap—signs that bearish sentiment is taking over. Ju believes this downturn could last up to six months, lowering expectations for a fast recovery.

All Hope Is Not Lost

Despite the sharp drop in prices, many long-term investors are staying calm. Bitwise CEO Hunter Horsley said that as trust between countries weakens and global trade becomes more difficult, Bitcoin’s value as a neutral, decentralized, and borderless asset becomes even more important. He believes Bitcoin’s role in the world has never been more meaningful.

Safe haven or not, Bitcoin just got a harsh lesson in geopolitics and it’s one the market won’t forget anytime soon.

Nidhi Kolhapur

Nidhi is a Certified Digital Marketing Executive and Passionate crypto Journalist covering the world of alternative currencies. She shares the latest and trending news on Cryptocurrency and Blockchain.

Recent Posts

Ethereum on the Verge of Crash, $1,000 Calling?

In the ongoing tariff war between the United States and other countries, the cryptocurrency market…

April 7, 2025

Solana Back Above $100 as Bulls Gain Control—Will SOL Price Reclaim $110?

The Solana price is on the verge of rising over the bearish captivity while the…

April 7, 2025

Binance Founder CZ Joins Pakistan Crypto Council as Strategic Advisor

Pakistan is stepping into a new era of digital finance with a major announcement. Changpeng…

April 7, 2025

Big Week for Crypto: 5 Key US Economic Events to Watch

The crypto market started the week with a massive drop, wiping out $260 billion in…

April 7, 2025

This $0.025 Crypto Is Flying Under the Radar — But Early Buyers See What’s Coming

Not every token that grabs headlines ends up delivering. That’s why seasoned crypto investors often…

April 7, 2025

Metaplanet Repays ¥2B Debt Early as Bitcoin Holdings Surge to $344M

In a smart financial move, Metaplanet has fully repaid its ¥2 billion in zero-interest bonds—months…

April 7, 2025