#CryptoTariffDrop Bitcoin, Ethereum, and other major cryptocurrencies plunged on Monday as global risk sentiment soured following fresh US tariff plans. The downturn came after US President Donald Trump signaled no retreat from sweeping import duties, raising fears of a looming recession and prompting bets on a potential interest rate cut by the Federal Reserve as early as May.The carnage came as Trump told reporters that investors would have to take their medicine and he would not do a deal with China until the US trade deficit was sorted out. Beijing declared the markets had spoken on their retaliation plans.

The new tariff regime includes a baseline 10% levy on imports, with significantly steeper duties on key Asian trade partners: 34% on China, 24% on Japan, 46% on Vietnam, and 25% on South Korea. The European Union was hit with a 20% tariff.According to Fitch Ratings, the effective US import tax rate has soared to 22% under Trump, compared to just 2.5% in 2024—its highest level since 1910.