Tariff turmoil catches crypto: Bitcoin dips below $80k amid global sell-off

Global markets are facing a broad sell-off amid US President Donald Trump's tariff hikes and the backlash from Beijing, which has spilled into crypto, pushing the flagship currency Bitcoin (BTC) below the $80,000 mark on Monday, April 7. 

 

Notably, on Friday, April 4, Wall Street's major indices logged their worst decline since Covid-19, with the S&P 500 plummeting 6 per cent, the Dow plunging 5.5 per cent, and the tech-heavy Nasdaq Composite tanking 5.8 per cent.  ALSO READ | Asian markets sink as Japan's Nikkei 225 dives 8% after Wall Street meltdown

 

The sell-off extended into the crypto markets too, with Ethereum (ETH), the world's second-largest cryptocurrency by market capitalisation, taking the worst hit among other popular cryptocurrencies.

 

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Ethereum traded down nearly 13 per cent at around 9:12 AM on Monday, April 7, 2025. At the same time, Bitcoin, which is the world’s most popular and largest cryptocurrency by market capitalization, traded lower by nearly 6.04 per cent, at around $78,291.26.

 

Bitcoin has traded in the range of $83,511.25 to $77,097.74 in the last 24 hours, according to data from Binance.

 

After holding up against the S&P 500 well last week, Bitcoin, Vikram Subburaj, CEO, Giottus Crypto Platform, said, has finally broken down and is trading near its March lows. “If sentiment improves and Bitcoin bounces, it will record a double bottom at these prices, which could be bullish in the mid-term.”

 

Investor sentiment, according to Edul Patel, co-founder and CEO of Mudrex, remains weak, with the Fear and Greed Index edging toward ‘Extreme Fear.’ However, a potential bright spot, Patel said, lies ahead as US federal agencies are expected to disclose the US’s crypto holdings later today.

 

"A sizable confirmation could trigger a relief rally. For now, Bitcoin needs to reclaim the $80,000 mark or it risks retesting its previous all-time high near $74,000," Patel said.

 

However, Subburaj believes that if Bitcoin breaks below $78,000, a drop toward $72,000 is likely in the upcoming weeks.

 

Meanwhile, the other cryptocurrencies were also under pressure on Monday. Solana (SOL) traded lower by 12 per cent, followed by Binance Coin (BNB), which saw a decline of 6 per cent. Ripple (XRP), on the other hand, was trading higher by around 12 per cent.