Bitcoin took a hit early Monday morning in Asia, dropping nearly 5% to hover around $64,300. This marks the lowest price the digital asset has seen since early February. The sudden decline comes as investors react nervously to a fresh wave of confusion regarding United States trade tariffs and economic policy.
The trouble intensified over the weekend following conflicting updates on trade. U.S. officials stated on Sunday that existing trade deals remain in place, despite a recent Supreme Court ruling that struck down President Donald Trump’s use of emergency authority to enforce new levies. To make matters more volatile, Trump posted on social media Saturday that he plans to increase a previously announced global tariff from 10% to 15%.
This back-and-forth created immediate economic turbulence. It wasn’t just digital currency that suffered; the U.S. dollar and stock futures also dipped on Monday. Ether, the second-largest cryptocurrency, fell even harder than Bitcoin, losing more than 5.2% of its value.
Experts say the market is currently very fragile. Caroline Mauron from Orbit Markets noted that “macro uncertainty” is weighing heavy on traders. Between rising geopolitical tensions with Iran and the “whiplash” from U.S. tariff news, many fear Bitcoin could fall further to test the $60,000 support level.
Bitcoin has now wiped out most of the gains it made following the 2024 election. Back in October, excitement about a crypto-friendly administration pushed the price to a record high of over $126,000. Since then, a massive selloff has erased over $2 trillion in value from the broader crypto market, punishing smaller tokens the hardest.
Investors are pulling their money out at a rapid pace. U.S.-listed Bitcoin funds have seen more money leave than enter for five weeks in a row, the longest streak since early last year. In that time alone, investors withdrew $3.8 billion.
With the market shedding another $100 billion in just 24 hours, analysts believe Bitcoin needs a new story to drive growth. Robin Singh of Koinly observed that recent legislation didn’t move prices much, suggesting the market is still searching for a catalyst to turn things around.
