April 7, 2025 — The crypto market faced a sharp downturn over the weekend, with Bitcoin dropping more than 6% to $77,700, hitting its lowest level in three weeks. The drop came as investors reacted to a new wave of aggressive U.S. tariffs announced by President Donald Trump, sparking global market volatility.
Ethereum wasn’t spared, plunging nearly 12% to $1,575, while the broader digital asset space mirrored the risk-off sentiment seen in traditional markets.
During early Asian trading hours, U.S. equity futures also took a hit:
- S&P 500 E-mini futures fell 4.3%
- Dow futures slid 4%
- Nasdaq 100 futures plunged 4.6%
The sell-off was triggered by new U.S. tariffs that came into effect Saturday. The measures include a 10% flat tariff on nearly all imports, with even steeper duties on specific countries — 34% on Chinese goods and 20% on imports from the EU. The White House says the move aims to level the playing field for U.S. exports facing foreign trade barriers.
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After a relatively calm weekend, the crypto market began sliding early Monday, pointing to rising investor anxiety and potential capital rotation into safer assets.
Market analysts say the current correction could deepen if retaliatory actions are taken by the EU or China. However, some believe that a shift in policy or even a single presidential tweet could reverse the bearish momentum.
“The crypto space is entering a period of heightened uncertainty,” one analyst noted. “Trump is using tariffs as leverage, but it comes with serious market-side consequences.”Despite the sell-off, several traders view the correction as a potential buying opportunity, with many watching closely for re-entry points in Bitcoin and major altcoins.
