Trade War Fears Escalate

In a dramatic turn of events late Sunday, both Bitcoin and Ethereum experienced significant drops. This market shake-up was triggered by United States President Donald Trump's firm stance on tariffs, which has sent ripples through the global economy. The uncertainty was palpable as Trump announced tariffs on Canada, Mexico, and China, and hinted at future tariffs on the European Union, stating they would come "pretty soon."

Impact on Cryptocurrencies

By 9:06 pm ET, Bitcoin had fallen by 4.73% to $92,935, while Ethereum saw a more drastic decline of 13.52%, plummeting to $2,455. These movements underscore the volatile nature of cryptocurrencies in the face of global economic tensions.

Future Implications

Trump's warning that tariffs against Canada and Mexico could worsen if trade deficits and the fentanyl issue are not addressed adds another layer of uncertainty. This situation highlights the interconnectedness of global trade policies and digital currency markets, suggesting a rocky road ahead for investors.