The cryptocurrency market has experienced a sharp decline today due to a combination of geopolitical and market-specific factors. The announcement by U.S. President Donald Trump that his planned 25% tariffs on Canada and Mexico are proceeding as scheduled, combined with widespread liquidations and a significant drop in market sentiment, has triggered a cascade of sales across all digital assets.

Quick Summary

Sentiment towards cryptocurrencies has plummeted to "Extreme Fear" (a score of 25) following Trump's tariff announcement.

Bitcoin has fallen to its lowest price since November, slipping below $90,000, while significant liquidations have added pressure.

Ether, along with key altcoins such as Solana, Dogecoin, and XRP, has experienced sharp declines and bearish technical signals.

Broader market factors—including losses in tech stocks, a strengthening yen, and macroeconomic uncertainty—have contributed to the sell-off.

The total market capitalization of the cryptocurrency market has dropped by nearly 8% in a single day, falling below $3 trillion, reflecting widespread risk aversion.

The Fear and Greed Index Drops to 25 Amid Geopolitical Tensions and Market Liquidations

Cryptocurrency Fear and Greed Index

Today's decline in the cryptocurrency market is the result of the convergence of multiple pressures. At the forefront, U.S. President Donald Trump has confirmed that his planned 25% tariffs on Canada and Mexico are proceeding as scheduled, reigniting fears of an impending trade war. This geopolitical announcement has had a pronounced impact on investor sentiment, causing the Cryptocurrency Fear and Greed Index to plummet from a neutral value of 49 to an "Extreme Fear" level of 25—a level last seen during significant market tension last September.