Bitcoin Slides 4.8% Amid Fresh Nervousness Over US Tariffs

Market Overview

On Monday, Bitcoin slid as much as 4.8% to $64,300, its lowest since February 6. The digital asset's losses were mirrored in other tokens, with Ether, the second-largest token, retreating 5.2%. This decline comes after US officials announced that trade deals remain in place despite a Supreme Court ruling striking down President Donald Trump's use of emergency authority to impose tariffs.

Trade Deals and Tariffs

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The US government's decision to maintain existing trade deals despite the Supreme Court ruling led to increased economic uncertainty. President Trump had earlier announced a 15% tariff, up from the original 10%, which further intensified market volatility. The dollar and US stock futures dropped in early trading on Monday, while a gauge of Asian equities climbed 1%.

Macro Uncertainty and Crypto Market

The crypto market remains fragile, with market participants relying on support at $60,000. Macro uncertainty, including Iran geopolitical tensions and US tariffs whiplash, may lead to another test of this level. The broader crypto market has seen over $2 trillion in value wiped out, with smaller tokens being hit especially hard.

Downside Protection and Key Support Levels

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Data from Deribit, a crypto derivatives exchange, shows that downside protection is concentrated around the $60,000 mark. Rachael Lucas, an analyst at BTC Markets, stated that a decisive break below $65,000 brings $60,000 into play. To shift the narrative, bulls need to reclaim $70,000.