Bitcoin News Today: Tariffs Trigger Crypto Crash, But Bulls See Long-Term Gain
Aime SummaryBitcoin's price dropped below $119,000 following U.S. President Donald Trump's announcement of potential tariffs on Chinese goods, triggering a broader selloff across risk assets. The cryptocurrency fell to as low as $108,000 after Trump escalated threats to impose a 100% tariff on Chinese imports starting November 1, responding to Beijing's export controls on rare earth minerals [1]. CoinGlass data revealed $459 million in crypto liquidations within an hour, with $773 million in 24 hours, primarily long positions [1]. EthereumETH-- and SolanaSOL-- also declined sharply, with ETH down nearly 5% to $4,107 and SOLSOL-- below $211 [1].
The move mirrored a 2025 April tariff announcement, which saw BitcoinBTC-- drop 1.1% in an hour and the S&P 500 lose $2 trillion in market cap [1]. Trump's current tariff rhetoric coincides with a U.S. government shutdown, complicating economic data releases like the September 2025 Consumer Price Index [1]. Despite the turmoil, 45% of predictors on Myriad Markets remain bullish on Bitcoin reaching $140,000 before retreating to $110,000 [1].
Analysts highlighted Bitcoin's correlation with traditional markets. The Nasdaq fell 1.77%, the S&P 500 dropped 1.25%, and the Dow lost 0.83% [1]. Aran Hawker of CoinPanel noted that macro-driven correlations increasingly influence crypto prices, with the Nasdaq serving as a benchmark for risk-off moves [4]. Tariffs have also intensified inflation fears, pushing investors into safer assets like gold, which surged 18% year-to-date [4].
Zach Pandl of Grayscale suggested tariffs could erode the U.S. dollar's dominance, creating space for Bitcoin as a global monetary asset. However, he acknowledged short-term headwinds, estimating tariffs have already reduced U.S. economic growth by 2% in 2025 [4]. Blockchain researcher Dr. Kirill Kretov observed large withdrawals from active Bitcoin addresses, signaling potential price volatility and a thinner market [4].
Technical analysis showed Bitcoin trading within a bearish regression channel, with key support levels at $80,000 and resistance near $87,000 [4]. CoinGecko data indicated Bitcoin at $118,223, down 1.88% in 24 hours [3]. Liquidation pressure persisted, with $9.4 billion in crypto positions wiped out in 24 hours, including $7.15 billion in leveraged longs . EtherETH-- and Solana fell to $3,500 and $140, respectively, as global crypto market cap dropped to $3.64 trillion .
Market participants remain divided on long-term implications. While tariffs have caused immediate volatility, some experts argue they could accelerate Bitcoin adoption as a hedge against a fragmented financial system [4]. However, near-term recovery depends on softer tariff rhetoric or Federal Reserve easing [3]. Institutional accumulation via ETFs continued despite the downturn, contrasting with retail investors' short-term caution .
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