Impact of Trump's Tariff Uncertainty on Dogecoin and the Crypto Market
Uncertainty surrounding the tariff policies implemented by U.S. President **Donald Trump** has triggered volatility in the crypto market, with **Dogecoin (DOGE)** experiencing a sharp decline of **16.72%** over the past week. Investors are increasingly concerned that unpredictable trade policies could negatively impact digital assets, particularly speculative ones like Dogecoin.
## **Factors Behind Dogecoin's Decline**
1. **Trade Tariff Uncertainty and Global Markets**
Trump accused **China of violating a recently agreed trade deal**, a claim confirmed by Treasury Secretary **Scott Bessent**, who stated that negotiations between the two nations have stalled. This uncertainty has led investors to avoid risky assets, including Dogecoin.
2. **Shifting Market Sentiment**
The global crypto market capitalization has dropped **2.56%** to **$3.35 trillion**, despite the Fear & Greed Index still showing a score of **61** in the "Greed" zone. This indicates that while selling pressure exists, some investors remain optimistic about market recovery.
3. **Impact of Liquidation and Volatility**
The crypto market has seen massive liquidations, with total losses exceeding **$500 million** in the past 24 hours. Dogecoin, which previously surged more than **17%**, has now lost momentum due to sell-offs triggered by macroeconomic uncertainty.
## **Effects on Bitcoin and Altcoins**
Beyond Dogecoin, **Bitcoin (BTC)** has also declined by **4.40%** over the past week, now trading at **$103,000**, after previously reaching an all-time high of **$111,000**.
- **Bitcoin faces a crucial support level around $104K**, which could determine its next movement. If BTC falls below this level, further declines toward **$102,500,750** are likely.
- **Ethereum (ETH) and Solana (SOL)** have also corrected after previous gains, with ETH dropping to **$2,626** and SOL losing momentum following double-digit weekly growth.
## **Conclusion and Market Outlook**
Trade policy uncertainty remains a key factor influencing crypto market movements. Investors face challenges in determining the right investment strategy amid increasing volatility.
- **If tariffs remain in place**, the market will likely continue to experience pressure, particularly on speculative assets like Dogecoin.
- **If policy clarity emerges**, the market could recover, with Bitcoin potentially returning to **$110K** if it breaks key resistance levels. $BTC
