Bitcoin and Altcoins React to U.S. tariff News
Bitcoin experienced a 4% dip in the past 24 hours,influenced by reports of potential U.S. tariffs on major trading partners.President Trump’s tariff announcements have kept crypto traders on edge, affecting Bitcoin and altcoins.
Earlier this week,Bitcoin showed signs of recovery as traders hoped for narrower tariffs. Trump spoke with Canadian Prime Minister Mark Carney, and the conversation was reportedly positive. Both leaders agreed to start “complete negotiations.” However, it’s unclear if Trump will impose additional tariffs on Canada, China, and Mexico on April 2.
Traders should expect more volatility until then. Dogecoin (DOGE) and XRP have remained steady despite Bitcoin’s flash crashes and tariff news.
The crypto market, excluding Bitcoin, has seen a 36% drop from its peak in December 2024. Meme coins, Solana-based tokens, and AI-related tokens have been hit the hardest. Dogecoin and XRP have shown resilience, with DOGE up 41% and XRP up 260% in the last six months.
Bitcoin is currently around $84,000, with analysts believing it has hit a cycle bottom under $77,000. Institutional demand for Bitcoin is rising, with Wall Street firms keen on adding it to thier portfolios.
technical indicators suggest Dogecoin could recover from its recent 5% drop. XRP, however, shows signs of negative momentum but holds onto its six-month gains.
Altcoins Face Pressure as Tariffs Loom
U.S. trade tensions are causing stress in the altcoin market. President Trump’s tariff announcements have hit top altcoins hard. Cardano (ADA), Solana (SOL), and Chainlink (LINK) are among the most affected. These coins are down significantly from their all-time highs.
Despite the downturn, dogecoin and XRP are still up by double digits compared to six months ago. However, Ethereum (ETH) has suffered the most. Even though ETH was declared a commodity and added to the U.S. crypto stockpile, it’s still struggling. The Crypto Fear & Greed Index shows traders are still cautious. The index is at 44, indicating fear but less than last week and month. Meme coins, known for their volatility, are feeling the heat to. They react more to market swings and uncertainty. This makes them riskier but also offers high rewards.
Analyst Lark davis thinks tariffs could create a major bear trap. He believes this could lead to more losses before a potential recovery. The market is nervous, but less so than before. The index is at 44, showing some optimism.
Traders should prepare for more volatility. With liberation Day on April 2nd,the market is bracing for more turbulence.Bitcoin and Ethereum ETFs are seeing less investment. This suggests altcoins may face more challenges. The U.S. Federal Reserve’s dovish stance and Trump’s “benign” tariff strategy might help. But traders should be careful. A risk-off approach is wise as the market digests tariff news and global reactions.
Why is Ethereum hit so hard? It’s the backbone of DeFi. When DeFi faces issues, ETH feels the brunt. High leverage in DeFi can cause big price drops when big players sell off. This could push Bitcoin to test the $88,000 level.Bitcoin could find support there. Tariffs usually hurt altcoins more. They have more retail investors. Institutional money is less involved. This makes them more sensitive to external factors.
Key points to note:
- Altcoins down 60-90% from their peaks.
- Traders should avoid adding to derivative positions. It’s best to stay cautious.
DeFi’s automation can cause sharp price drops. Big traders’ liquidations can hurt ETH prices. Tariffs might be the biggest market threat as 9/11, the Iraq War, the 2008 crisis, and COVID-19.Tariffs could be the biggest bear trap ever, Davis warns. Retail investors dominate meme coins and small-cap tokens. They react more to news and uncertainty.
Bitcoin might hit $88,000. Tariffs could cause more pain before any rebound. ETH’s role in DeFi makes it especially vulnerable. DeFi uses ETH for many projects.When big traders sell, ETH feels the impact.
With Liberation Day near, traders expect less activity. Bitcoin might test $88,000. A soft Fed stance and Trump’s tariff plans may ease fears.A K33 report backs this. Tariffs
Major Crypto Exchange Launches New Trading Features
A leading crypto exchange has unveiled exciting new trading features to enhance user experience. This move aims to attract more traders and improve platform functionality.
The exchange has introduced advanced order types, making it easier for users to execute trades. These tools allow traders to set specific conditions for buying or selling cryptocurrencies. This feature is especially useful for those who want more control over their trades.
Another key addition is the margin trading option. This allows users to borrow funds to increase their trading power. However, it comes with risks, so traders should be cautious.the exchange has also improved its security measures to protect user funds.
These updates reflect the exchange’s commitment to innovation. They aim to stay ahead in the competitive crypto market. Traders can now enjoy a more robust and secure trading surroundings.
For more details,visit the exchange’s official website.
