New Blow to Crypto: Bitcoin Retreats, Ethereum Plunges to $1,900
Amid heightened global risk aversion, cryptocurrencies remain on edge following new announcements from Donald Trump, while their correlation with U.S. equities continues to grow.
The crypto market is experiencing a period of volatility. Bitcoin (BTC) is down 0.09%, according to Binance, hovering around $82,600 after briefly dipping below that level during the last session. Meanwhile, Ethereum (ETH) is up 0.8% but remains under $2,000, marking a sharp 16% drop over the past 24 hours.
Altcoins are showing a weak rebound, with some gains led by Stellar (+13%), Binance Coin (+7.9%), Ripple (+5.6%), and PI (+3.8%).
Declining Confidence in Risk Assets
Bitcoin’s dominance in the total crypto market capitalization has surged to 62.5%, its highest level since March 2021, according to TradingView data. This indicator has risen from 55% to 62% since the market peaked at $3.6 trillion in December. Typically, an increase in Bitcoin dominance signals a shift away from riskier assets amid market turbulence.
On the macroeconomic front, uncertainty remains high. The U.S. trade war has escalated further after the implementation of 25% tariffs on steel and aluminum imports, prompting retaliatory measures from Canada and the European Union. The Trump administration’s trade policies are fueling tension across global markets.
The big question is how far Trump will go with his tariff policies and government spending cuts. While it may be an exaggeration to say he intends to trigger a recession, his determination to reshape global trade should not be underestimated.
Meanwhile, the latest U.S. inflation data has done little to ease market concerns. According to the Bureau of Labor Statistics, the Consumer Price Index (CPI) for February dropped to 2.8% year-over-year, with core inflation at 3.1%—both figures coming in better than expected.
ABOUT THE AUTHOR
See More
Sidebar rates
Related Posts
SaveAdd 3440
Join 350 000+ traders receiving Free Trading Signals
Alerts
Rates
Calendar
Signals