Bitcoin Price Drops Amid Tariff-Related Sell-Off in Cryptocurrency Markets
Bitcoin’s price fell to $77,077 on April 7 amid a sell-off caused by President Trump’s tariffs. Approximately $745 million in bullish positions were liquidated, revealing a risk-off sentiment in the crypto market, with total capitalization dropping to $2.5 trillion. Major cryptocurrencies, including Ethereum and Solana, experienced significant declines in value.
On April 7, Bitcoin’s price fell to $77,077, marking a decrease of 7% at the Singapore market open. This slump is attributed to the global tariff war initiated by U.S. President Donald Trump, which has triggered a sharp sell-off across financial markets, especially in cryptocurrencies. Reports indicate that bullish crypto positions worth approximately $745 million were liquidated in the last 24 hours, the highest figures seen in six weeks, reflecting a clear risk-averse sentiment among investors.
The overall market capitalization of the cryptocurrency sector also saw a decline on April 7, reaching $2.5 trillion, representing a 6.59% drop in the past day. Trading volumes surged to $101.84 billion, a 137.91% increase, with decentralized finance (DeFi) accounting for $6.02 billion. Stablecoins like Tether reported a trading volume of $95.57 billion, which significantly outpaced Bitcoin’s trading volume due to their demand in crypto transactions.
As of 7 am on April 7, Bitcoin’s market capitalization was approximately $1.56 trillion, recovering slightly to around $78,938, still down 5.69% over 24 hours. Ethereum’s price also fell to $1,590.06, down 12.10%, with a market cap of $191.88 billion. Other notable declines include Solana, which traded at $106.53, down 11.44%, while Tether remained stable at $0.9994.
Experts suggest that the selling pressure may persist, with Sean McNulty from FalconX warning that options markets indicate a shift towards bearish sentiment. Specified support levels for Bitcoin and Ethereum are now at $75,000 and $1,500, respectively. Industry analysts believe that the macroeconomic environment is influencing these recent trends, and the current pullback may be temporary, contingent on shifts in trade negotiations by the Trump administration.
The cryptocurrency market experienced significant volatility on April 7 due to the implications of President Trump’s tariffs, resulting in notable price declines across major tokens like Bitcoin and Ethereum. The surge in trading volume and bearish sentiment highlights an increased risk-averse attitude among investors. Analysts anticipate that these market movements may stabilize once trade negotiations progress, underpinning the influence of macroeconomic factors on cryptocurrency valuations.
Original Source: www.livemint.com
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