Bitcoin just hit a wall. The world’s biggest cryptocurrency dropped 2.5% to $108,745 early Friday after President Trump rattled global markets. His post on Truth Social came like a wrecking ball.
Trump said Apple could face a 25% tariff on iPhones made outside the U.S., and the European Union might get slammed with a 50% hit starting June 1.
Bitcoin had been riding high for two days, setting a new record. Now, it is sliding. Other major cryptos were not spared. Ether, XRP, and Solana lost 3% to 4% in the same 24-hour span. Investors didn’t wait around to see how deep the dip would go.
Bitcoin and Stocks Under Pressure
Futures on the S&P 500 fell 1.3% after staying flat earlier in the day. Risk assets started slipping right after the post went live. Markets don’t like uncertainty, and Trump’s post hit like a curveball. Both crypto and stock traders pulled back hard.
Karolina / Pexels | The threat of major Trump tariffs throws up red flags. Investors know this could squeeze global trade and rattle tech giants like Apple.
They know it can make already shaky markets even more unpredictable. Bitcoin, usually treated like digital gold, didn’t hold up in the face of panic selling. Instead, it followed stocks lower.
Bitcoin often gets hurt when investors run scared. It might be a digital asset. But it still acts like a high-risk bet. When things get tense, people shift toward safer places like bonds and gold. The tariff threat spooked people into dumping their crypto positions.
Before the post, things looked good. Crypto markets were gaining, and optimism was in the air. But confidence vanished fast. The sudden change caught traders off guard. Now, they are scrambling to figure out what will happen next if Trump’s trade war talk turns into action.
A Strong Week Wiped Out in Hours
It wasn’t long ago that Bitcoin was flying high. The rally had real legs. Part of the reason? The U.S. Senate backed the GENIUS Act, a bill focused on regulating stablecoins. That vote made waves in the crypto world. It signaled that Washington might finally be willing to bring digital assets into the fold.
On top of that, rumors swirled about big banks like JPMorgan and Citigroup exploring their own stablecoins. These wouldn’t be crypto in the wild sense, but more like digital dollars.
David McBee / Pexels | Even though Bitcoin isn’t tied to one country or company, it still reacts to global headlines.
MicroStrategy kept buying, boosting confidence. And let’s not forget inflation and debt worries in the U.S., which have some investors looking for alternative assets.
Add it all up, and Bitcoin looked strong. It had momentum, money flowing in, and positive buzz from Capitol Hill. Then came Trump’s post, and all that forward motion got crushed under the weight of geopolitical stress. In just a few lines on social media, everything changed.
Trump’s Tariffs Stir Up Global Drama
Tariffs set off chain reactions. Hitting Apple means pressure on global supply chains. Targeting the EU means tension with trade partners. That leads to uncertainty, and markets hate that. Bitcoin’s price slide is a symptom of something bigger. The system is nervous.
Even though Bitcoin isn’t tied to one country or company, it still reacts to global headlines. Tariffs could slow the economy. Slower growth means less appetite for risky assets. When traders get jittery, they run from crypto.
