As of February 1, the United States has imposed tariffs of 25% on imports from Canada and Mexico, along with a 10% tariff on Chinese goods, further complicating the ongoing trade wars.
Consequently, within a 24-hour period, Bitcoin dropped by 5.1% amid a market-wide sell-off. The cryptocurrency fell by more than 5%, reaching a low of approximately $91,200, before beginning its recovery, first stabilizing around $94,000 and later surpassing $95,000. At the time of writing, Bitcoin is trading at $95,694.
Despite this recovery, BTC remains about 13% below its all-time high of $109,000, and trading volume has surged by over 200%, indicating significant selling pressure and market panic.
Additionally, the total market capitalization of the global cryptocurrency market has declined by nearly 12% during the same period, totaling around $3.15 trillion.
It is worth noting that following the inauguration of President Donald Trump on January 20, Bitcoin and altcoins experienced a significant price increase. However, after that peak, recent events, including the new tariff policy, have contributed to a sharp decline in market sentiment and asset values.