The cryptocurrency market saw a sharp 8% drop after US President Donald Trump announced tariffs on goods from Mexico and Canada that will come into effect in March.
The decision triggered a wave of selling in the cryptocurrency market, which led to the price of Bitcoin falling below the $92,000 mark.
At the same time, Solana ($SOL ) lost more than 15% of its value, falling below $150, due to the Lazarus group's involvement in the Pumpfun meme coin incident.
The fall in the cryptocurrency market was triggered by Trump's announcement of the introduction of 25% tariffs on goods from Mexico and Canada, as well as 10% tariffs on Canadian energy resources, including oil, natural gas and electricity.
The decision raised concerns among investors about its impact on global trade, resulting in a $230 billion loss in cryptocurrency market capitalization.
The situation was exacerbated by the liquidation of about $1 billion in Bitcoin, Ethereum ($ETH ), and Solana (SOL) futures. In addition, last week saw significant outflows from Bitcoin ETFs, amounting to $571 million, the second consecutive weekly outflow this year.
Experts attribute this to increased uncertainty at the macroeconomic level and the introduction of new tariffs.
The decline in demand for $BTC , the first recorded since September 2023, indicates weakening investor confidence. Despite the long-term positive outlook for Bitcoin, the current market pressure could lead to a prolonged period of consolidation.
In such conditions, investors prefer to reduce risks, which is reflected in the overall dynamics of the cryptocurrency market.
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