Crypto Market Suffers The Wrath of Trump Tarriffs
By Manoj Dharra
Crypto Market Update: $1 Billion in Liquidations as Bitcoin Drops Below $92,000
Crypto markets saw nearly $900 million in liquidations as Bitcoin fell 85 to trade near 87,000 largely in response to President Trump’s tariffs on Canada and Mexico and concerns over last week’s $1.5 billion Bybit hack continued to weigh on investor sentiment
According to Coinglass, $1 billion in liquidations were reported, highlighting Bitcoin’s increasing sensitivity to macroeconomic news.
Trump’s tariff policies have previously caused similar market crashes, such as the $2 billion loss in early February 2025, underscoring the impact of such policies on the market.
Ether was down over 10% of its value in the past two days even as Bybit pledged to fully replenish the estimated $1.5 billion lost to hackers.
Solana dropped 15% during the same period and has lost about $50 billion in market value over the last month. This is partly due to the recent scandal involving Argentina’s President Javier Milei and a memecoin called Libra. Additionally, Solana is facing pressure with $1.72 billion of its tokens set to be unlocked on March 1, according to Messari.
The prices of other popular crypto tokens including the Ripple Labs linked XRP, Binance’s BNB and Solana’s SOL also saw steep declines of 14.3%, 6.4% and 15% respectively in the past day.
The altcoin market is struggling with poor sentiment and a lack of new narratives, contributing to ongoing losses.
Shares of crypto-related companies also declined, with Coinbase Global down for the sixth consecutive day, MicroStrategy down 5.7%, and Bitcoin miner MARA Holdings dropping 5.3%.And that’s largely due to poor sentiment, exploitation from various memecoin failures, and lack of capital to support new token launches.” There is a lack of a narrative in the altcoin market, so I suspect there will be a continued bleed out until that changes.”
Key events this week:
US consumer confidence, Tuesday
Apple shareholder meeting, Tuesday
US new home sales, Wednesday
Nvidia earnings, Wednesday
US GDP, durable goods, initial jobless claims, Thursday
Japan Tokyo CPI, industrial production, retail sales, Friday
US PCE inflation, income and spending, Friday
Market outlook remains uncertain
The negative outlook on the market is not completely clear, as regional trade concerns in North America are weighing down the stock market. Since crypto is correlated with mainstream stock markets, the economic uncertainty might continue to weigh down Bitcoin.
With ongoing market volatility, token unlocks, and weak investor sentiment, analysts suggest that altcoins may continue to bleed until a new catalyst emerges.
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