Bitcoin and other cryptocurrencies have seen significant declines amid rising trade tensions and inflation concerns. As the market braces for new tariffs from the U.S. government, Bitcoin has dropped to approximately $82,100, while Ethereum and XRP have also seen declines to around $1,790 and $2.13, respectively. The selling pressure follows a troubling report revealing a larger-than-expected increase in the core Personal Consumption Expenditures Price Index (PCE) by 0.4% for February, raising investor fears about the economic landscape. Additionally, upcoming tariffs announced by President Trump could adversely affect various sectors, including automobiles and pharmaceuticals, contributing to worsening consumer sentiment. Recent analysis indicates a notable downturn in U.S. consumer confidence, underscoring a potential economic slowdown. This trend in cryptocurrency prices reflects broader investor caution, with large-scale capital moving away from risk-heavy investments, particularly as traditional equity markets exhibit volatility. While Bitcoin is often viewed as a hedge against inflation, its current trajectory suggests it remains closely linked to fluctuations in broader financial conditions.

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