Bitcoin under pressure on risk aversion
Bitcoin fell on Friday and resumed losses after a short hiatus yesterday, about to hit two-week lows amid risk aversion and mounting global tensions in the global markets.
Wall Street marked its biggest loss since the Covid 2020 crisis after Trump announced far more aggressive tariffs than expected on most countries.
The Price
Bitcoin fell 1.8% at Bitstamp to $81,659, with a session-high at $84,708.
On Thursday, bitcoin rose 0.75% at Bitstamp away from two-week lows at $81,188.
Crypto Market Value
The market value of cryptocurrencies fell by $25 billion on Friday to a total of $2725 trillion as both bitcoin and other major currencies tumbled.
Trump’s Tariffs
US President Donald Trump announced new historic reciprocal tariffs on many countries, that start with a base 10% and rise by many folds depending on the country.
He described the new tariffs as “a declaration of independence” and today as the “liberation day”.
Trump said the new tariffs are pivotal to bring back wealth to the United States, and he believes the 1929 Great Depression wouldn’t have happened if tariffs were kept.
He imposed 34% additional tariffs on China, 24% on Japan, 20% on the EU, 46% on Vietnam, 26% on India, 32% on Taiwan, 10% on the UK.
Wall Street
US stock indices marked the biggest one-day loss on Thursday since March 2020 when the Covid 19 pandemic broke out, hitting seven-month lows as large investments exited the US.
