The latest crypto rally has lost its steam as investors have embarked on a widespread sell-off in recent days due to uncertainty caused by U.S. President Donald Trump’s tariffs. This caused Bitcoin, the world’s most valuable cryptocurrency, to dip below $75,000 on Monday.
The tariffs caused significant turmoil in the stock market, but it was believed that the cryptocurrency market is well-positioned to avoid a similar effect. However, this doesn’t seem to be the case as Bitcoin and altcoins are quickly falling well below their recent all-time highs.
Bitcoin last traded around $75K in November before embarking on a record-setting rally following the Presidential elections that saw it hit a record price of $109,026.02 in January. The momentum started fading in early February as Bitcoin returned below $100K before trading around $80K throughout March.
After the stock market endured a rough week, which included the Dow Jones Industrial Average posting back-to-back days with losses of more than 1,500 for the first time ever, the crypto market followed over the weekend.
Bitcoin fell to $74,775.61 on Monday morning, marking a 10% dip in 24 hours, before returning to $76K shortly after. Ether, on the other hand, has traded below $1,500 at one point, marking its lowest price since early 2023.
“For a moment, it seemed as though crypto might hold steady, but with the 24/7 nature of crypto markets, investors woke up on Sunday in full ‘sell mode,’” Charlie Sherry, head of finance and crypto analyst at BTC Markets, wrote in a research note.