The recent decline in cryptocurrency markets is the result of a combination of several factors:
1. Geopolitical tensions and trade uncertainties: The announcement by U.S. President Donald Trump to impose tariffs on imports from Canada, Mexico, and potentially the European Union has raised concerns about a trade war. This uncertainty has led investors to shift away from riskier assets, such as cryptocurrencies, in favor of safer investments, such as U.S. Treasury bonds.
2. Concerns about a global economic recession: Growing uncertainty regarding global economic stability has led investors to be cautious, resulting in sell-offs in the cryptocurrency markets.
3. Technical market factors: Some analysts point to technical aspects, such as filling the so-called CME gaps (price gaps in the futures markets), which may have contributed to the current decline in Bitcoin prices.
It is important to realize that the cryptocurrency market is highly volatile and influenced by many factors. Investors should carefully monitor current events and adhere to risk management principles in their investment decisions.
