Crypto Crash: $1B+ Liquidations After Trump Tariff Announcement
Crypto Market Meltdown: Billions Wiped Out
The cryptocurrency market experienced a significant downturn following the announcement of new tariffs by President Trump. This led to over $1.09 billion in liquidations within 24 hours, according to Coinglass data. Bitcoin fell over 10%, while major altcoins like Ethereum (ETH), XRP, Solana (SOL), and Cardano (ADA) suffered losses between 15% and 25%. The total market capitalization plummeted by more than $460 billion in a single day, representing an average hourly loss of approximately $19.1 billion.
Bitcoin's Brief Rally and Subsequent Drop
Initially, Bitcoin saw a brief surge to $93,000 following President Trump's announcement of strategic US crypto reserves. However, this rally proved short-lived, as the impact of the new tariffs quickly reversed the gains. At press time, Bitcoin was trading around $83,500, down 10.23%, with daily trading volume increasing by 15% to $77 billion. Market analysts predict Bitcoin could fall further, potentially reaching $70,000-$75,000, before a potential uptrend resumes. Analysts like Arthur Hayes and KALEO have offered insights, suggesting a potential bottom near the previous cycle's all-time high.
Altcoin Bloodbath
Altcoins experienced an even steeper decline, with Ethereum (ETH) falling towards $2,000, potentially marking its worst Q1 performance on record. The broader altcoin market showed significant selling pressure throughout February, and the recent crash has exacerbated the situation. While analysts advise against panic selling, the market sentiment for an altcoin season is currently very low.
“Most of the altcoins are giving back their gains against Bitcoin today. People want to get out, that’s why they sell on every bump upwards and that’s why things will take time. Just be patient.” - Michael van de Poppe
Navigating the Crypto Market with Codeum
The recent volatility highlights the importance of robust security and due diligence in the crypto space. Codeum offers a range of services to mitigate risks, including smart contract audits, KYC verification, custom smart contract and DApp development, tokenomics and security consultation, and partnerships with launchpads and crypto agencies. Our commitment is to help build a more secure and transparent blockchain ecosystem.
Disclaimer: This content is for informational purposes only and does not constitute financial advice. Market conditions are constantly changing. Conduct thorough research before investing.