Bitcoin (BTC) fell below $90,000 on Monday, extending the cryptocurrency market’s 8% decline on US President Donald Trump’s forecast of tariffs on Mexico and Canada beginning March 4.
Bitcoin (BTC) fell below $90,000 on Tuesday, continuing the cryptocurrency market’s decline amid US President Donald Trump’s threat of tariffs on Mexico and Canada beginning March 4.
The uncertainty around the impact of imminent tariffs on global commerce caused many investors to minimize their exposure to riskier wagers, causing the cryptocurrency market to fall by about 8%. Bitcoin plummeted below $90,000, knocking away more over $230 billion of the whole cryptocurrency market capitalization.
Altcoins Plunge Amid Crypto Market Turmoil
Ether and major altcoins, including Solana and Dogecoin, remain under intense selling pressure as investors shift focus elsewhere. The broader crypto market is still reeling from last week’s record-breaking hack.
Ether, the second-largest cryptocurrency by market capitalization after Bitcoin, has tumbled over 10% in the past two days, extending its downward trend during Asian trading hours on Tuesday. Solana has suffered a 15% drop over the same period, while Dogecoin has plunged by about 13%.
Jeff Dorman, Chief Investment Officer at Arca, highlighted the persistent weakness in crypto, stating, “Crypto has been weak for eight weeks, while equities, fixed income, and gold have ignored factors impacting digital assets. Poor sentiment, meme coin failures, and limited capital inflows are driving the decline.”
As of 8:26 a.m. Tuesday in Hong Kong, Bitcoin had slipped 2.2% to approximately $91,902. However, the market found some relief after Strategy announced a $2 billion Bitcoin investment on Monday.
Ether remained under pressure despite crypto exchange Bybit promising to completely refund the estimated $1.4 billion stolen to hackers last week. Bybit purportedly borrowed and acquired some Ether, according to CEO Ben Zhou’s X tweet.
Shares of cryptocurrency-related firms have also fallen. Coinbase Global Inc. extended its losing skid to six days, while MicroStrategy fell around 5.7%, placing it in negative territory for the year. MARA Holdings Inc., a bitcoin miner, dipped 5.3% on Monday, following a 13% drop the week before.
(With assistance from Bloomberg)
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