U.S. Tariffs Shake Global Crypto Market Amid Rising Economic Uncertainty
In a ripple effect of Washington’s latest trade actions, the global cryptocurrency market has taken a significant hit.
The U.S. government's recent imposition of new tariffs on China and other key trade partners is not only impacting global stock exchanges but also sending shockwaves through the digital asset sector. This week, Bitcoin (BTC) dropped 5%, while Ethereum (ETH) followed with a noticeable dip, reflecting a broader investor retreat from volatile assets.
Stablecoins such as Tether (USDT) and USD Coin (USDC) are gaining popularity as investors seek stability. Binance Coin (BNB) faced sharp price swings due to market uncertainty in Asia, and altcoins like Solana (SOL) and Cardano (ADA) fell between 7% and 10%.
Meanwhile, Ripple (XRP) witnessed a drop in trading volume, and meme favorite Dogecoin (DOGE) saw a temporary loss of investor confidence. Crypto hedge funds have started reshuffling portfolios in anticipation of further turbulence.
User activity on decentralized platforms like MetaMask is shifting, and even major exchanges like Kraken and Coinbase are reporting reduced trading volumes. Chainlink (LINK) and Polkadot (DOT) are also feeling the pressure, reflecting widespread market stress.
Analysts warn that unless U.S. trade policy becomes more predictable, global crypto markets may continue on a bearish path. Investors in Asia, Europe, and the Middle East are closely monitoring the situation, as blockchain startups struggle to attract fresh capital.
In the face of growing instability, experts urge investors to act with caution and keep a close watch on macroeconomic developments.
