On February 3, the cryptocurrency market experienced a significant drop. Bitcoin fell to a three-week low, while Ether fell to its lowest level since early September. Investors’ worries about a possible global trade war have forced them to abandon risky assets, informs Reuters.
Bitcoin fell to $94,476.18 after reaching a low of $91,441.89. At the same time, Ether lost about 24%, returning to levels last seen in September.
Over the weekend, US President Donald Trump imposed a 25% tariff on goods from Mexico and most Canadian imports, as well as a 10% tariff on Chinese goods, which will take effect on Tuesday.
In response, Canada and Mexico, two key US trading partners, promised immediate retaliatory measures, and China said it intended to challenge the tariffs at the World Trade Organization.
The cryptocurrency market operates continuously, including weekends, and has recently become particularly sensitive to general market sentiment. Investors fear that new trade barriers could negatively affect economic growth, corporate profits and cause inflation to rise.
