Photo: depositphotos
Bitcoin has fallen to $91,695, while Ether has lost 22.7% of its value due to the outflow of investors from risky assets. This happened against the backdrop of the introduction of trade duties by US President Donald Trump, which caused panic in the cryptocurrency market, Investing.
On Monday, 3 February, the most popular cryptocurrency, Bitcoin, fell sharply after Trump announced the introduction of trade tariffs on China, Canada and Mexico. Investors began to avoid risky assets, which affected the entire crypto market. The decline in Wall Street futures by more than 1.5% only exacerbated the situation as traders prepared for a possible escalation of the trade war.
Bitcoin fell by 10% to reach $91,695.8, while Ether, the second largest cryptocurrency by capitalisation, fell by 22.7% to $2,434.84. The $TRUMP memecoin, launched by Trump in January, lost more than 15%, falling to a record low of $16,349.
Analysts warn that the new duties could increase inflation in the US, slow economic growth and reduce the likelihood of the Federal Reserve easing its monetary policy, which in turn could further negatively affect the crypto market.
