U.S. President Donald Trump triggered a $300 billion surge in the crypto market on Monday following the announcement of U.S. crypto reserves. The same Donald Trump has now caused a $300 billion drop in the crypto market as his trade tariffs take effect today.
Total crypto market capitalization has fallen by nearly 14 percent in the last 36 hours to $2.82 trillion from over $3.2 trillion on Sunday evening. This move has erased all gains from the surge that followed the announcement of crypto reserves on March 2.
Coinglass reported that over 311,000 traders were liquidated in the last 24 hours for just over $1 billion.
Trump Pump and Dump
– Trump pumped the market with a tweet. Trump caused the drop with his tariffs. All his doing. Sad but true – commented economist Alex Krüger on X.
Meanwhile, trader and analyst DonAlt stated that he assumes people have realized that Trump likely won’t be able to ‘push through’ the crypto reserves in Congress overnight.
– Tomorrow, tariffs of 25 percent for Canada and 25 percent for Mexico will begin – Trump said during a press conference at the White House on March 3.
Trump also signed an executive order on Monday raising tariffs on imports from China to 20 percent, up from 10 percent.
Trump’s tariffs have also hit the stock market, with the S&P 500 erasing an incredible $1.5 trillion in market capitalization.
Bitcoin Falls Below $83,000
Bitcoin fell to an intraday low of $82,864 during the early morning, losing nearly 12 percent in just over a day.
Meanwhile, the BTC fear and greed index has again fallen into extreme fear.
Ethereum is once again among the worst performers, dropping to a lower level it hadn’t traded at before the announcement of crypto reserves. Even other altcoins mentioned in Trump’s crypto reserves have lost most of their gains within 24 hours.
The significant drop in the crypto market has also closed a large gap of $10,000 on CME Bitcoin futures that opened over the weekend when traditional markets were closed.
