Bitcoin fell sharply in early Asian trading on Monday as renewed uncertainty over United States tariff policy rattled global markets, dragging down other major cryptocurrencies alongside broader risk assets.
According to Bloomberg’s report, the world’s largest digital asset dropped as much as 4.8% to about $64,300, its lowest level since February 6.
Ether, the second-largest cryptocurrency, declined even more, sliding 5.2% as selling pressure intensified across the market.
What they are saying
Analysts say the crypto market remains vulnerable amid the shifting macroeconomic backdrop.
- “The crypto market continues to be fragile, with participants watching the $60,000 level closely,” said Caroline Mauron, co-founder of Orbit Markets.
She noted that a mix of geopolitical tensions and rapidly changing US trade policy could push prices toward that threshold again.
According to CoinGecko, the market lost roughly $100 billion in value within 24 hours. Meanwhile, derivatives exchange Deribit reported that traders are heavily positioned for downside protection around the $60,000 price level.
Beyond tariffs, analysts say Bitcoin is struggling to find a compelling catalyst for recovery.
- “Bitcoin is crying out for a new narrative right now,” said Robin Singh, chief executive of crypto tax platform Koinly.
He noted that optimism surrounding proposed US crypto legislation failed to generate a sustained price rebound.
Backstory
The selloff followed fresh policy confusion in Washington after US officials said on Sunday that previously negotiated trade agreements remain valid despite a Supreme Court ruling that invalidated President Donald Trump’s use of emergency powers to impose tariffs.
The Supreme Court decision has injected new uncertainty into the global trade outlook.
Market jitters deepened after Trump announced on social media that he would raise a newly introduced global tariff from 10% to 15%, a move that unsettled investors. The dollar weakened while US equity futures declined, with contracts linked to major indices falling in early Monday trading, even as Asian equities posted modest gains.
- “I, as President of the United States of America, will be, effective immediately, raising the 10% Worldwide Tariff on Countries, many of which have been ‘ripping’ the U.S. off for decades, without retribution (until I came along!), to the fully allowed, and legally tested, 15% level,” Trump said in a social-media post on Saturday.
The original 10% tariffs were scheduled to take effect on Tuesday, February 24, though it remains unclear whether the new 15% rate will begin on the same date.
What you should know
Bitcoin had already lost momentum earlier this month, erasing gains accumulated after Trump’s re-election victory in November 2024.
- Optimism that his administration would adopt a more crypto-friendly stance had driven the asset to a record high above $126,000 last October before a steep downturn began.
- Since then, the broader cryptocurrency market has shed more than $2 trillion in value, with smaller digital tokens suffering the largest losses.
- Investor sentiment has also weakened in traditional financial channels.
The dozen US-listed spot Bitcoin exchange-traded funds recorded their fifth straight week of net outflows, totaling about $3.8 billion — the longest withdrawal streak since February last year.
