Tariff Fallout Turns Crypto Red: $2.61 Trillion Market Cap Under Siege
Jamie Redman
Tariff Fallout Turns Crypto Red: $2.61 Trillion Market Cap Under Siege
The digital asset realm contorted under intensifying pressures Thursday, its aggregate valuation plummeting by nearly 4% to $2.61 trillion as bearish currents engulfed speculative markets.
Tariff Fallout Turns Crypto Red: $2.61 Trillion Market Cap Under Siege
Mass Liquidations Rock Crypto: Nearly 200K Traders Caught in the Crossfire
Even before U.S. markets stirred, Dow Jones Industrial Average futures telegraphed unease, projecting a 3% downturn in pre-bell trading.
This financial tremor followed Wednesday’s tectonic policy shift: The White House introduced a sweeping 10% baseline tariff on select nations, effective Apr. 5, a maneuver that sparked immediate consternation across global exchanges.
Tariff Fallout Turns Crypto Red: $2.61 Trillion Market Cap Under Siege
By dawn Thursday, Wall Street’s premarket indices plunged into crimson territory, mirroring the digital asset sector’s 3.92% contraction over 24 hours. Bitcoin, after briefly stabilizing above $83,000 at 7:30 a.m. ET, slipped beneath $82,000 just 90 minutes later—a harbinger of broader volatility preceding equities’ opening act.
Leading cryptocurrencies faced a cascading rout: Bitcoin retreated 3.5%, Ethereum tumbled 5.6%, and XRP relinquished 6.5%, while BNB and SOL eroded 2.3% and 10.3%, respectively.
Meme tokens bore sharper wounds, with DOGE and ADA shedding 8.5% and 9%, as TRX slid 2.9%. Derivatives markets witnessed $562.82 million in positions forcibly closed Thursday, leaving 196,887 traders navigating margin calls.
Tariff Fallout Turns Crypto Red: $2.61 Trillion Market Cap Under Siege
Of this carnage, $347.65 million stemmed from bullish bets gone awry, contrasting with $215.17 million in profitable short maneuvers. Bitcoin derivatives alone accounted for $186.91 million of the bloodletting—a stark testament to its gravitational pull in speculative arenas.
Tags in this story
Bitcoin (BTC), markets and prices
Image Credits: Shutterstock, Pixabay, Wiki Commons
Buy crypto
Sell crypto
I want to buy
BTC
Bitcoin
(BTC)
How much?
200
us
USD
GET QUOTE
Markets and Prices
Jamie Redman
14 hours ago
Crypto Carnage: $509M Wiped Out Post-Trump Tariff Bombshell as BTC, ETH, SOL Spiral
Bitcoin ( BTC) experienced a swift and pronounced decline hours after U.S. President Donald Trump unveiled new tariff measures, collapsing to an intraday floor of $82,352 by 7:15 p.m. ET.
Crypto Carnage: $509M Wiped Out Post-Trump Tariff Bombshell as BTC, ETH, SOL Spiral
Trump’s Tariff Tremors
Traders swiftly mobilized, engaging in a high-stakes contest to reverse the digital currency’s trajectory, mounting a spirited but fleeting defense of the $83,000 level—a symbolic bastion of psychological support. The cryptocurrency’s vulnerability resurfaced Wednesday afternoon, hours after Trump’s “Liberation Day” remarks, as BTC briefly revisited its earlier low after a brief stint above $88,000.
Crypto Carnage: $509M Wiped Out Post-Trump Tariff Bombshell as BTC, ETH, SOL Spiral
Despite tentative stabilization near $82,000, the asset clung to a 2.5% 24-hour deficit. Trump’s policy declaration sent shockwaves through digital asset valuations, stripping 3.43% from the collective cryptosphere’s worth, which settled at $2.64 trillion at its weakest point. While BTC weathered a 2.5% contraction, ether ( ETH) surrendered more than 6% of its value, and solana ( SOL) relinquished 6.6%, reflecting heightened sensitivity among alternative tokens.
Derivatives markets bore the brunt of this upheaval, hemorrhaging $509 million in liquidations—$176 million extracted from BTC-focused positions—as 181,544 traders faced margin calls. Parallel disarray gripped after-hours traditional finance (TradFi): Futures pegged to the Dow Jones Industrial Average cratered by 918 points, while broader U.S. equity futures imploded following Trump’s revelation of tariffs exceeding 10%, with select nations confronting even steeper trade barriers.
By 7:20 p.m. ET Wednesday, BTC’s precarious equilibrium near $82,000 telegraphed mounting bearish sentiment, as selling pressure threatened to breach critical technical thresholds. In stark contrast, gold—often hailed as a haven asset—drifted upward, opening at $3,134 per ounce before methodically ascending to $3,152 by nightfall, its measured gains forming a quiet rebuke to crypto’s tempestuous theatrics.
Welcome to Billionaire Club Co LLC, your gateway to a brand-new social media experience! Sign up today and dive into over 10,000 fresh daily articles and videos curated just for your enjoyment. Enjoy the ad free experience, unlimited content interactions, and get that coveted blue check verification—all for just $1 a month!
Account Frozen
Your account is frozen. You can still view content but cannot interact with it.
Please go to your settings to update your account status.
Open Profile Settings