Recent announcements by President Donald Trump regarding new customs tariffs have stirred anxiety within the cryptocurrency sector. The volatility in global trade relations has led to a heightened sense of caution among market participants, culminating in a notable decrease in the prices of major cryptocurrencies, including Bitcoin, which is struggling to hold the $81,000 threshold. Other altcoins like Ethereum, Pi Network, Pepe Coin, and Solana are navigating particularly turbulent waters.
How Are New Tariffs Affecting the Market?
The proposed tariffs, projected to exceed 20%, are likely to affect over 25 nations, creating ripples not only in conventional markets but also in the cryptocurrency landscape. As the Economic Uncertainty Index reaches unparalleled heights, investors are increasingly seeking refuge in safer assets.
What Should Investors Focus On?
Amid increasing turmoil, the cryptocurrency market is witnessing a significant downturn. High-market-cap altcoins are particularly vulnerable, and investors should avoid specific cryptocurrencies to mitigate potential losses.
Ethereum has dipped below the vital support level of $1,820, trading around $1,800 after a 15% drop in a week. Experts warn that if it breaches the $1,750 mark, further declines to $1,550 could occur.
In contrast, Pi Network has plummeted by an alarming 70% this month, marking it as one of the worst performers. Despite some integration efforts with major platforms, its price has continued to decline, currently trading around $0.70.
PEPE, the popular memecoin, has also faced challenges, falling to $0.00000707 after losing 7% in the last 24 hours. Large transfers to exchanges suggest that more declines may be on the horizon. Meanwhile, Solana has slipped from $126 to a precarious $120, raising concerns about its ability to maintain stability.
- Tariffs pose a serious threat to cryptocurrency stability.
- Ethereum is at risk if it drops below $1,750.
- Pi Network is showing alarming declines, reflecting waning investor confidence.
- PEPE and Solana also face significant selling pressure and potential further drops.
Market conditions remain precarious as geopolitical tensions escalate, prompting a cautious approach from crypto enthusiasts. Investors are advised to stay vigilant and reassess their portfolios in these uncertain times.
