Crypto markets reacted negatively after President Trump declared a national emergency and imposed tariffs on multiple countries as part of the ongoing trade war. The tariffs, which affect all nations with China facing a 34% increase, the EU 20%, and Japan 24%, initially caused Bitcoin prices to rise momentarily but then prompted a substantial decline. Bitcoin's value dipped around 2.6% to approximately $82,876, while Ether fell over 6% from $1,934 to $1,797. The total crypto market cap decreased by 5.3% to $2.7 trillion, reflecting extreme fear among investors as indicated by the Crypto Fear & Greed Index. According to analysts, the brief surge in trading volumes was followed by profit-taking from larger investors amid uncertainty. Additionally, there are concerns about potential retaliatory measures from other nations, but some experts believe the clarity around tariffs may provide long-term stability, removing speculation and allowing institutional investors to explore opportunities.

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