By Enemona Samuel Endurance
Bitcoin declined sharply in early Asian trading on Monday as renewed uncertainty over United States tariff policy rattled global financial markets, dragging down major cryptocurrencies alongside broader risk assets.
According to Bloomberg, the world’s largest cryptocurrency fell as much as 4.8% to around $64,300 — its lowest level since February 6.
Ether, the second-largest digital asset, dropped even further, sliding 5.2% as selling pressure intensified across the crypto market.
Crypto Market Loses $100 Billion in 24 Hours
Data from CoinGecko showed the total cryptocurrency market capitalisation declined by approximately $100 billion within 24 hours.
Derivatives platform Deribit reported heavy positioning for downside protection around the $60,000 level, indicating traders are bracing for further volatility.
Caroline Mauron, co-founder of Orbit Markets, said market participants are closely monitoring the $60,000 psychological support level.
“The crypto market continues to be fragile, with participants watching the $60,000 level closely,” she said, noting that geopolitical tensions and shifting U.S. trade policy could intensify downside risks.
Robin Singh, chief executive of crypto tax platform Koinly, added that Bitcoin currently lacks a strong recovery catalyst.
“Bitcoin is crying out for a new narrative right now,” he said, pointing to fading momentum around proposed U.S. crypto legislation.
Tariff Policy Uncertainty Triggers Risk-Off Sentiment
The selloff followed renewed policy confusion in Washington after U.S. officials indicated that previously negotiated trade agreements remain valid despite a Supreme Court ruling that invalidated the use of emergency powers to impose tariffs.
Investor uncertainty deepened after former President Donald Trump announced plans to raise a global tariff from 10% to 15%, unsettling currency and equity markets.
The U.S. dollar weakened while equity futures linked to major indices declined in early Monday trading. Broader risk appetite deteriorated, with cryptocurrencies reacting sharply to the shift in sentiment.
Institutional Outflows Persist
Bitcoin had already been under pressure earlier this month, erasing gains recorded after the November 2024 U.S. election.
The broader cryptocurrency market has shed more than $2 trillion in value since its peak, with smaller digital tokens experiencing steeper drawdowns.
Institutional flows have also weakened. U.S.-listed spot Bitcoin exchange-traded funds recorded their fifth consecutive week of net outflows, totaling approximately $3.8 billion — the longest withdrawal streak since February last year.
Market analysts note that macroeconomic clarity — particularly around trade policy, interest rates, and regulatory direction — will likely determine whether Bitcoin stabilises above $60,000 or enters a deeper correction phase.
This report is part of ongoing global market coverage by The Business Bureau under Nigeria News Today business and technology updates.
