As February began, crypto investors navigated a turbulent market, with over $2 billion in liquidations triggered by new tariffs imposed by President Donald Trump on Canada, Mexico, and China. This led to a crash, causing Bitcoin to plunge near $90,000, raising concerns about the long-term impact on digital currencies.
The announcement on tariffs contributed to massive leverage liquidations within the cryptocurrency market. Coinglass reported over $2 billion in liquidations within 24 hours of the announcement, with Bitcoin hitting a three-week low of $95,200 and Ethereum dropping to $2,800.
Concerns of potential inflation were raised as analysts speculated that Trump's tariffs might drive up prices, impacting investor sentiment in cryptocurrencies. Market volatility is expected to persist as more negative catalysts are anticipated in upcoming weeks.
Despite the chaos, some analysts see a silver lining. A weakened US dollar could potentially create favorable conditions for Bitcoin growth, as it might drive foreign residents towards BTC to counter currency debasement.
Źródło: www.newsbtc.com ↗