Why did Trump’s definitions lead to an immediate cure and healing?

Bitcoin and encryption markets were in the situation of crises yesterday after President Donald Trump announced new definitions on China, Mexico and Canada.

At one time, the largest cryptocurrency in the world was seen according to the maximum market trading of about $ 91,000 – a decrease by worrying affairs from the latter. All the time of $ 109,000 in December.

Bitcoin price collapsed and regained on Monday. source: Blx liquid index (BLX) via New courageous currency

Other encryption assets, including ethereumCardano and Ripple’s Xrp He saw worse declines on Monday. Mimi currencies like DodgeI said Ship and Trump sharply on the tariff news.

While most of these coding assets have since been recovered after news that Mexico has An agreement signed With the United States that delays the new Definitions From the start of the execution for another month – it is important for investors to understand the reason for the market failure after the announcement of the customs tariff.

After all, this was only the first batch of definitions from President Trump, with more planning for the coming weeks and months. Therefore, it is important for investors to understand the fundamental relationship between definitions and encryption markets.

Why is the Trump tariff the bad news of the encryption origins?

President Trump raised the definitions by 10 % on all imports from China and about 25 % for each of Mexico and Canada during the weekend, which led to a More than 2.0 billion dollars beaten To the encryption market on Monday.

The encryption market is disrupted by more than $ 2.0 billion in hours: Source: Queen glass

Selling in encrypted currencies, including BitcoinMany surprised that Trump’s tariff had nothing to do with digital origins. Why is the encryption market on Monday? In an answer from one word, it’s “uncertainty”. Markets love certainty, and they hate uncertainty. Trump is not predicted, making financial markets unexpected.

Canada has already announced a 25 % tariff for American goods in a revenge show – as well as China, Mexico and the European Union, and possibly any other commercial partner targeting the Trump administration in 2025.

Simply, the new US government is leading the world towards a World Trade War, Commercial wars are known to be inflated, and therefore they lead to pressure on consumer spending that tends to influence the lower companies.

It was placed together, it is a recipe for economic uncertainty. When this comes, you knock on your door, your first reaction as an investor is to achieve profits and build a cash reserve.

Therefore, “achieving profit” after an incredible race in encryption prices, and among fears of the most difficult times in the coming-this is the first reason that made digital assets achieve great success after Trump’s decision to raise customs duties against China, Mexico and Canada.

Investors sponsored the cryptocurrencies on Monday because digital assets are volatile, and the volatility is what investors such as plague avoided amid fears of uncertainty. This led to the collapse of the encryption market on Monday.

What is the next for encryption amid fears of a global trade war?

However, investors should notice that The subsequent recovery in encryption prices Today it indicates that the bulls are still in control.

For this reason, Richard Ting, CEO of Binance, remains positive and believes that encryption prices resume its upward path during the next few days.

“This must pass … only temporary contraction,” He wrote on x today.

Binance CEO says that the definitions driven by Crypto sales are temporary. source: x

TENG optimism suggests that it is time to think about working on weakening currencies – and what is the failure of the encryption market and his subsequent recovery that may have been established on Monday is the extent of profit for investors interested in earning fast money.

After all, Bitcoin sits comfortably at the top of $ 101,000 in writing. This translates into more than 10 % earning against a decrease during the day. How many financial assets can these returns are realistic within hours?