'A Spring Dream' Bitcoin 'Plummets' as Trump's Tariff War Expands

"Trump 'Implementing 25% Tariffs on Canada and Mexico from the 4th'"
"Confirmed 20% Tariffs on China...Will Also Raise Tariffs on Imported Agricultural Products"
Cryptocurrencies Plummet...Futures Market Liquidation Reaches 1.4594 Trillion Won
Cryptocurrencies Including BTC Rise for 3 Days, Surrender Gains from the 4th
Cointelegraph "BTC Decline on the 4th Similar to 2019 Decline Pattern"

The cryptocurrency market, including Bitcoin (BTC), plummeted on the 4th as President Trump expanded his trade war. This happened just a day after cryptocurrencies surged on Trump's mention of cryptocurrency strategy stockpiling.

President Trump announced through an official White House statement on the 4th that he will implement a 25% tariff on Canada and Mexico starting on the 4th, and will raise the tariff on China to 20%. That's not all.

On his social media platform 'Truth Social', President Trump mentioned "Great American farmers should prepare to produce lots of agricultural products for sale in the US" and that "the tariffs will be applied from April 2nd".

As President Trump expanded the trade war, the major cryptocurrencies that had surged the previous day plummeted, leading to a large-scale liquidation in the cryptocurrency market.

According to data from on-chain data platform CoinGlass, the daily cryptocurrency futures market liquidation on the 4th was about $1.4594 trillion (about 1.4594 trillion won).

Most of the liquidated amount was from long (bullish) position liquidations. CoinGlass reported that the cryptocurrency long position liquidation on the 4th was $867.87 million (about 1.2671 trillion won). Funds that were bet on a cryptocurrency market rebound were liquidated again.

The major cryptocurrencies that had risen on the 3rd surrendered more than their gains from the 4th. On the 4th, Bitcoin (BTC) fell about 8%, while Ethereum (ETH), XRP, Solana (SOL), and Cardano (ADA) fell about 14%, 17%, 19%, and 21% respectively.

◇Bitcoin = As of 4 pm on the 4th based on Upbit, the Bitcoin price was 12,606 million won. Bitcoin's market dominance was 61.37%.

According to on-chain analysis platform Sygbit, the long (bullish) and short (bearish) betting ratio in the Bitcoin futures market was 69.26% and 30.74% respectively.

As Bitcoin plummeted, the outlook of experts around Bitcoin was gloomy. In particular, a forecast was made that Bitcoin would show a pattern similar to the 2019 'Xi Jinping Rally'.

Cryptocurrency media Cointelegraph reported that "The 'Trump Rally' in the cryptocurrency market on the 3rd is similar to the 'Xi Jinping Rally' in 2019", and "Bitcoin, which surged due to Chairman Xi's remarks in 2019, recorded a 70% drop in 30 days".

◇Rising Coin = As of 4 pm on the 4th based on Upbit, the cryptocurrency that recorded the largest increase from the previous trading day was Waves (WAVES), rising about 8%.

Waves is a platform created for the development, transfer, trading, and DApp development of digital assets.

Through its built-in P2P (Peer to Peer) digital asset trading function, it can perform the role of a decentralized exchange (DEX) and supports trading of cryptocurrencies such as Bitcoin and Ethereum.

The Waves token is used as a fee when exchanging other digital assets or creating and issuing tokens.

◇Fear and Greed Index = The Digital Asset Fear and Greed Index provided by Alternative is at 15 points, entering the 'Extreme Fear' stage. This stage is accompanied by high trading volume and strong volatility. The possibility of market entry at the bottom is high, which can be considered a buying zone for institutions.

The Cryptocurrency Relative Strength Index (RSI) provided by Sygbit is 39.6, recording a 'neutral' state. RSI measures the relative strength between the upward and downward pressure of a specific asset price, indicating the overbought and oversold levels of a specific asset.

Reporter Kwon Seung-won ksw@blockstreet.co.kr