Trump announced a 25% tariff on auto imports set to take effect next week, drawing criticism from politicians and industry leaders and sparking warnings of price hikes from global automakers.
As of 12:07 PM IST, Bitcoin was trading at $85,925, down 1.8% in the last 24 hours, while Ethereum slid 5.1% to $1,923. The overall cryptocurrency market capitalization fell 2.35% to $2.79 trillion.
Crypto Tracker
“Market sentiment is volatile, driven by macroeconomic factors like Trump’s auto tariff action,” said Avinash Shekhar, Co-Founder & CEO, Pi42.Among major altcoins, XRP fell 4.8%, Solana declined 3.7%, Dogecoin dropped 7%, and Cardano lost 4.4%. Chainlink, Avalanche, Hedera, Shiba Inu, and Stellar recorded declines between 2% and 7%.
Also Read: Bitcoin and the psychology of wealth: Robert Kiyosaki on why most people stay poorBitcoin’s market capitalization dropped to $1.703 trillion, with dominance rising to 61.08%. However, its 24-hour trading volume slipped 0.55% to $26.42 billion. Stablecoin transactions accounted for 97.17% of total crypto trading, reaching $79.01 billion, according to CoinMarketCap.”Bitcoin remains range-bound around $87,000 amid renewed US tariff concerns,” said Vikram Subburaj, CEO of Giottus. “Crypto and other risk-on markets will likely be volatile leading into and after this deadline.”
“Market sentiment remains in ‘Fear’ territory, with the Crypto Fear and Greed Index at 44,” he added.
Riya Sehgal, Research Analyst at Delta Exchange, noted that Bitcoin attempted a recovery above $86,800 but is struggling to break resistance at $88,000–$88,200. “A breakout above these levels could reignite bullish momentum, but until then, downside risks persist,” she said.
Sehgal added that Trump’s tariff announcement has injected volatility across markets. “With the PCE Index data release today, traders are bracing for potential macro sentiment shifts. Historically, Bitcoin has been seen as an alternative store of value during economic uncertainty, though its correlation with risk assets remains evident in the short term.”
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times)
