
Bitcoin's value has fallen more than 25 percent from record highs in January, as Trump's tariff announcements and the possibility of a trade war prompted investors to sell the digital asset en masse.
Bitcoin and Ethereum each lost seven percent of their value today, Bloomberg New York reports.
Bitcoin's peak values were recorded on the day of Donald Trump's presidential inauguration on January 20, when bitcoin was selling for more than 105,000 euros, but since then it has fallen by 27 percent.
BTC Markets CEO Caroline Bowler believes this type of market sentiment was last seen in 2022, when the prices of Bitcoin and other digital currencies fell sharply during the so-called “crypto winter” due to rising interest rates and industry problems.
She believes markets are now reacting to geopolitical uncertainty and the possibility of tariffs in the United States.
US President Donald Trump confirmed that 25 percent tariffs on Mexico and Canada will take effect on March 4, along with an additional 10 percent tariff on Chinese imports.
Beijing has warned that it will "take all necessary measures" if the United States raises tariffs on Chinese imports.
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