Bitcoin Plunges Below $80K Amid Trump Tariff Fears

Bitcoin, the world's most popular cryptocurrency, has experienced a significant decline in recent days, shedding nearly all the gains it made following the U.S. presidential election in November 2020. The price of Bitcoin has fallen below $80,000 for the first time since then, amid growing macroeconomic uncertainty and concerns over U.S. President Donald Trump's proposed tariffs.

On February 27, Bitcoin's price dropped to $79,752, according to data from TradingView. This 2.65% decline over the past hour resulted in $80.28 million in long positions being liquidated, as per CoinGlass data. Bitcoin last traded at this level on November 11, 2020, just days after Trump was elected U.S. President, when optimism was high that his pro-crypto policies would lead to a Bitcoin rally in 2025.

Many market observers attribute Bitcoin's and the broader crypto market's decline to macroeconomic uncertainty and concerns over Trump's proposed tariffs. Since Trump's inauguration on January 20, when Bitcoin hit an all-time high of $109,000, the asset has dropped nearly 26%. This significant decline has erased most of the gains Bitcoin made following the U.S. presidential election.

As the situation continues to evolve, investors and market participants are closely monitoring the developments surrounding U.S. trade policies and their potential impact on the cryptocurrency market. The ongoing uncertainty may lead to further volatility in Bitcoin's price and the broader crypto market in the coming days and weeks.