Bitcoin, Ethereum Plummet Amid Trump's Tariff Storm

Bitcoin and Ethereum Prices Plummet Amidst Tariff Uncertainty

Bitcoin and Ethereum, two of the world's leading cryptocurrencies, have experienced significant price declines in recent days. Bitcoin fell below the $102,000 mark, while Ethereum slipped below $3,300, reflecting broader market sentiment amidst geopolitical tensions and trade uncertainties.

The price of Bitcoin dropped to $102,060 on Friday, a nearly 3% decrease from the previous day. This decline comes as President Donald Trump's administration confirmed the imminent implementation of tariffs on China, Mexico, and Canada. White House Press Secretary Karoline Leavitt announced that the president will impose 25% tariffs on Mexico and Canada, and 10% tariffs on China, effective Saturday.

Analysts have suggested that these tariffs could indirectly impact Bitcoin's price by strengthening the U.S. dollar in the short term. The Federal Reserve is also monitoring potential shifts in immigration and trade policy, which could influence its inflation outlook and the timing of rate cuts that Bitcoin has historically benefited from.

Prior to the recent decline, Bitcoin's price had recovered from earlier losses caused by China's DeepSeek tech market turmoil. On Thursday, Bitcoin's price approached its all-time high of $108,780, reached alongside Trump's inauguration on January 20. However, the asset's price plummeted on Friday following the confirmation of tariffs.

Major stock indices also fell in response to the tariff announcement. The S&P 500 dropped 0.5%, the tech-heavy Nasdaq Composite shaved off 0.3%, and the Dow Jones Industrial Average stumbled 338 points.

Earlier this month, Bitcoin's price surged above $100,000 for the first time in weeks after reports suggested that Trump's administration was considering a scaled-back tariff plan. However, the U.S. dollar weakened following Trump's denial of the report.

As Bitcoin fell, some altcoins also experienced greater losses. XRP's price dropped 3% to $3.04, while Solana's price fell more than 4% to $230. In contrast, Ethereum's price rose 2% over the past day to $