The recent tariff talks between the US administration and the European Union have caused Bitcoin to unexpectedly fall by 4%. In a short period of just 4 hours, liquidations on the market have reached over $300 million.
The BTC/USD in crypto market pair has fallen to a low of $107,367, which has become a notable event for the crypto community.
Market Reaction
US stock indices have also felt the effects of these events, falling by 1-1.2%. Traders, however, were not surprised by the volatility associated with the tariffs. In 24 hours, the volume of liquidations has exceeded $500 million.
Trump’s comment
US President Donald Trump has said that the negotiations with the EU do not promise a quick result. As a measure, he proposed to impose a 50% tariff on the EU from June 1, 2025. This statement caused further volatility in the financial markets.
Macroeconomic Outlook
The Trump administration faces a difficult task: on the one hand, too much tariff pressure could weaken trade, on the other, too little pressure could lead to increased inflation. The president needs to find a balance that will allow him to keep tariffs at an optimal level and reduce the yield on Treasury bonds.
Traders and Price Levels
Traders are closely watching key price levels for Bitcoin. Crypto experts such as Crypto Caesar, Poseidon and Skew note the importance of holding the green zone under $ 110,000 for further growth. The lack of resistance above the current spot price is also a topic of discussion among analysts.
We remind you that the information provided does not constitute investment advice. Every investment decision involves risk and readers should conduct their own analysis before taking any investment action.
