Price slide for cryptocurrencies too: Bitcoin back below 75,000 US dollars
After the announcement of drastic US tariffs, it seemed as if cryptocurrencies would almost be able to hold their prices. Now, however, they are plummeting.
(Image: Net Vector/Shutterstock.com)
Bitcoin has not been spared from the developments on the financial markets either. The price temporarily fell below 75,000 US dollars on Monday. This means that the most important cryptocurrency has now lost almost all of the price gains made following the election of Donald Trump as US president. Bitcoin first reached the USD 75,000 mark on election night, and in the weeks that followed, the price even rose to more than USD 100,000. Since Trump's inauguration, however, things have been going steadily downhill, even though the US president actually wants to be perceived as a friend of cryptocurrencies. The announcement of massive tariffs has merely caused the latest price correction.
Over the past seven days, all cryptocurrencies have fallen sharply, with Bitcoin's loss in value of over 8% still comparatively small. Ethereum has lost almost 19 percent of its value in the same period, as has XRP. Solana has even plummeted by almost 23%, while Cardano is currently down a good 20%. All five cryptocurrencies are therefore already worth significantly less than they were at the beginning of March –, when Trump announced that they would become part of a strategic crypto reserve for the US, triggering significant price jumps. According to data from CoinMarketCap, the market capitalization of all cryptocurrencies has fallen by more than 11%, or well over USD 200 billion, since Sunday alone.
Videos by heise
Shortly after the announcement of the immense tariff package, it seemed as if Bitcoin could escape the price losses of the traditional financial markets, even if the price fell. It no longer looks like that. Donald Trump has declared war on trading partners around the world by imposing tariffs on almost all imports. Tariffs of ten percent now apply across the board to imports from almost all countries. For many, significantly higher penalties will apply depending on the trade deficit. Further tariffs of 20 percent are planned for imports from Germany and other European Union states into the USA.
Trump, who was still a critic of cryptocurrencies such as Bitcoin during his first term in office and feared for the supremacy of the US dollar, changed his stance during the election campaign. In return, his election campaign received millions in donations from the industry, which is hoping for much more freedom from the new government. Candidates for the US Congress, who are supposed to incorporate these wishes into legislation, were also supported. So far, there has been little criticism of Trump's policies and the traditional financial markets also came under further pressure on Monday.
(mho)
