7 hours Ago
Global markets are in turmoil following the Trump administration's sweeping tariff announcement, sparking widespread financial uncertainty. On April 5, the US imposed a 10% blanket tariff on all foreign imports, with steeper rates for major trading partners: 34% for China, 24% for Japan, and 20% for the European Union. This move, aimed at addressing vast trade deficits, triggered immediate sell-offs across all asset classes, reflecting intense investor anxiety.
Cryptocurrency prices plummeted, with Bitcoin (BTC) dropping 9.6% in 24 hours to $75,081, and Ethereum (ETH) falling 19% to $1,450. The global crypto market capitalization declined 11.
2% to $2.36 trillion, and the Crypto Fear & Greed Index hit 17, indicating "extreme fear" among investors. The tariffs are expected to raise $1.
5 trillion in revenue over the next decade but may shrink US GDP by 0.4%, sparking concerns about potential retaliatory measures from affected countries. Though prices retreated from session lows, volatility remains elevated.
BTC hit a touch of US$78,500 only to pull back. ETH similarly clawed its way above US$1,590 in mid-session trades. Pundits, however, caution that such weekend illiquidity tends to overplay the movements.
“A couple of big sell-offs can disproportionately hurt,” explained Charlie Sherry, head of finance at Australian crypto exchange BTC Markets In the meantime, old-style markets are suffering too. American stock futures tanked, S&P 500 futures fell almost 4 percent, Nasdaq dropped sharply, and Dow futures declined by more than 8 percent. The Kobeissi Letter indicated that the S&P has lost US$400 billion per day for more than a month now, driving futures into bear territory.
US President Trump came to the defense of the tariffs, saying they are ‘a beautiful thing to watch’ and critical to tackling the nation's trade deficit. Though Treasury Secretary Scott Bessent called on trade partners not to retaliate, China already struck back with a 34 percent tariff on every US product. As the world uncertainty intensifies, investors are preparing for more to come.
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