In a significant market reaction, cryptocurrency-related stocks experienced notable declines following President Donald Trump’s announcement of sweeping new tariffs on major U.S. trading partners. The tariffs, unveiled on April 2, 2025, impose a baseline 10% levy on all imports, with higher rates targeting specific nations, including a 34% tariff on Chinese goods.
The cryptocurrency market responded promptly to the news. Bitcoin, the leading digital currency, dropped 2.3%, trading at approximately $83,000. Ethereum, another major cryptocurrency, fell by 3.3%.
This downturn extended to crypto-related equities. Coinbase Global Inc. (COIN) saw its stock price decrease to $167.20, down 8.6% from the previous close. MicroStrategy Inc. (MSTR), a significant holder of Bitcoin, experienced a 6% drop, with shares trading at $293.66. Riot Platforms Inc. (RIOT) and Marathon Digital Holdings Inc. (MARA), both prominent cryptocurrency mining companies, faced declines of 9.1% and 9.2%, respectively. Riot’s shares fell to $7.285, while Marathon’s dropped to $11.28. Bitfarms Ltd. (BITF) also saw a decrease, with its stock price down 6% to $0.8061.
The broader financial markets mirrored this volatility. The S&P 500 and Nasdaq 100 futures fell by 3.2% and 3.6%, respectively, reflecting investor concerns over the potential economic impact of the tariffs.
Analysts suggest that the tariffs could exacerbate existing economic pressures, potentially leading to increased inflation and slower growth. The cryptocurrency market, known for its sensitivity to macroeconomic factors, is likely to remain volatile as the situation develops.
