AUS
NZ
UK
CA
USA
IND
_02_03_2025_19_44_15_935367.jpg)
_06_04_2026_00_29_48_108019.jpg)
Highlights
- Crypto market sheds $12.7B per hour, totaling a $760 billion loss over 60 hours.
- Altcoins face severe declines, with Ethereum (ETH) and other major altcoins falling significantly.
- Bitcoin (BTC) shows relative stability compared to altcoins during the market downturn.
The cryptocurrency market has experienced a dramatic decline following U.S. President Donald Trump's February 3 announcement of new tariffs on imports from China, Canada, and Mexico. This unexpected move has sent shockwaves through global markets, causing a significant drop in the value of risk assets, including cryptocurrencies. Over a span of 60 hours, the market saw a staggering loss of $12.7 billion per hour, adding up to a total of $760 billion wiped out from the crypto market.
Altcoins were hit the hardest in this market sell-off. Ethereum (ETH), the second-largest cryptocurrency by market capitalization, saw a sharp 16% drop, reaching a low of $2,368 before recovering slightly to $2,552. Despite this rebound, Ethereum remains 38% below its December 2024 peak of $4,078, showing the extent of the recent downturn.
Other prominent altcoins such as Avalanche (AVAX), XRP, Chainlink (LINK), and Dogecoin (DOGE) also faced severe losses, each plummeting over 20% within the past 24 hours. This widespread decline contributed to a significant 11.4% drop in the global crypto market cap, which fell to $3.17 trillion. These movements highlight the vulnerability of altcoins to macroeconomic events and market sentiment shifts.
Bitcoin (BTC), the largest cryptocurrency, showed more resilience in comparison to its altcoin counterparts. Although it did experience a 6.8% drop, falling to $94,743 over a 24-hour period, Bitcoin managed to avoid the worst of the market crash. Its relative stability during the turmoil could indicate its position as a more established asset in the crypto space, attracting a more cautious demographic of market participants who view Bitcoin as a safer store of value during uncertain times.
The broader crypto market’s downturn is closely tied to global economic factors, with trade tensions adding to an already volatile environment. The imposition of tariffs by the U.S. further exacerbates concerns regarding global economic stability, contributing to a bearish market sentiment. As the market continues to react to these external pressures, the focus will likely shift to the long-term impact of such geopolitical events on the broader crypto ecosystem.
While the current market conditions have been challenging, the crypto space remains highly dynamic, and fluctuations are an inherent part of the asset class. The recovery or further decline of the market will depend largely on how global trade tensions evolve and how the cryptocurrency market adapts to these external pressures. For now, Bitcoin’s relative stability offers a glimpse of its enduring role in the crypto landscape, even amid significant turmoil.
