The encryption market is disrupted: Why is Crypto decreased sharply: What sparked bitcoin, ethereum, Solana and XRP?

The cryptocurrency market is witnessing a sharp decrease after President Donald Trump announced new definitions in China, Canada and Mexico. Bitcoin (BTC) decreased to less than $ 97,000, which represents a 2.5 % decrease, while ETHEREUM (ETH), Solana (Sol) and XRP are also offered. XRP was hit more difficult, 9.7 % decreased to $ 2.35. Investors’ reaction was negatively to the fears of the trade war, which led to a wide sale in the area of ​​digital assets.

Why the encryption decreases sharply?

The biggest reason behind the collapse of the market is Trump’s new tariff policy, which includes:

25 % tariffs on imports from Canada and Mexico
10 % tariffs on goods from ChinaThese commercial restrictions raised concerns about the global economic slowdown, prompting investors to withdraw money from the most dangerous assets such as Bitcoin and Ethereum. The influence has felt across both traditional markets and encryption.

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How does the major interaction interact?

Bitcoin is less than $ 97,000 is important, as it has been steadily traded than this level in recent weeks. Other major encrypted currencies also fell:ETHEREUM (ETH) fell 3.2 % to $ 4,800
Solana (SOL) decreased by 5.1 % to 95 dollars
Dogecoin (Doge) lost 4.5 %
XRP decreased by 9.7 %, reaching $ 2.35This sharp decline highlights how global economic policies directly affect the encryption market.

The role of the federal reserve in the fall of Crypto

The Federal Reserve recently confirmed that it will maintain current interest rates, pointing to inflation concerns. The high interest rates generally weaken bitcoin and other digital assets, as they reduce the liquidity of the total market.

Many encryption investors expected Trump’s policies to be a friend of encryption, but the immediate impact of his commercial decisions was negative.

What is the next for Bitcoin and the encryption market?

With high trade tensions, analysts expect continuous volatility in bitcoin and other encrypted currencies. Investors closely monitor how China, Canada and Mexico will respond to definitions. If the situation increases, the market may see more losses.

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Common questions:

Why did the encryption market decrease today?
The encryption market decreases due to the high economic doubts, which prompted investors to move away from risky assets such as Bitcoin and Ethereum.

How much Bitcoin fell into the latest crash?
Bitcoin decreased to less than 97,000 dollars, which represents a 2.5 % loss, while other major cryptocurrencies such as ETHEREUM and Solana decreased.