In recent days, Bitcoin’s commercial price faced a significant fall, despite the feelings of bulls in the cryptography market.
The current commercial price of Bitcoin is $ 97,127, which is -5.94% less than in the last 7 -day negotiation period. The important fall began after January 31.
In the same period, the commercial price of Ethereum ($ eth), the second best classified cryptocurrency, crashed into almost -12%. The current commercial price of $ Eth Coin is $ 2,843.
Just a couple of days ago, Ethereum’s commercial price was fluctuating around $ 3,400. This means that the price collapsed in almost -16.5% in recent days.
There is also a similar pattern in the other insignificant cryptocurrencies such as Solana (-20% shock from $ 241 to $ 192) and Cardano (-20% block $ 0.97 to $ 0.76).
The main tendency tokens related to artificial intelligence (AI) technology also face the fall.
Main reasons behind the price clash
In the current situation, most cryptography experts are sharing their opinions in their own way and claiming that the bull cycle is following its last pattern and we should not enter any type of panic and that we must accumulate the best digital assets in a Discount price, but, on the other hand, some of the main experts suggest that people do not follow the analysis of price graphics on behalf of the last bull cycle, instead of focusing on current developments of ongoing economic policies in progress in The jurisdiction of the United States, which is the initial phase of the war between different countries.
USA
On February 1, 2025, the president of the United States, Donald Trump Introduced new tariffs On imports from Mexico, Canada and China. Then, under new measures to increase rates, imports of goods in Mexico and Canada in the jurisdiction of the United States will face a 25%tax, while Chinese products will be subject to 10%.
The Trump administration decision focuses on addressing several issues, for example, illegal immigration and smuggling of fentanyl.
This last measure around import rates of the United States government clearly means that prices of several goods will increase rapidly. It will mainly impact the industry related to cars, food and electronics.
Experts believe that the monetary market of shares depends largely on the actions of technological companies, so it is obviously a great shock for the volatile money market.
Commercial War between countries
In response to the increase in rate in the United States, Canada also announced new retaliation rates, while people expect a response from Mexico and China.
Economists warn that these rates could increase inflation, slow down economic growth and, ultimately, damage US consumers and workers.
In particular, Peter Schiff, a popular Bitcoin & Global economist, a supporter of gold and silver investment, said that the growing value of the US dollar is not a good sign for Americans because the US sector depends significantly on imports of low cost.
Kashif Raza, a popular influencer of Indian cryptography that has experience in Indian laws, explained this development in simpler words and explained that the prices of raw materials in the US. UU. They would be available at a high cost, since Canada is One of the largest business partners.
In addition, the United States has no plans to reduce rates, so, ultimately, it will lead to high prices of goods and services. All these things lead to less liquidity means less flow of money in actions and cryptography.
Legal state of bitcoin bidding in El Salvador
Many experts joined the Bitcoin commercial accident event with the Bitcoin Reformed Law of El Salvador, which eliminates Bitcoin’s legal bidding status as part of an agreement with the International Monetary Organization (IMF) by a credit line of $ 1.4 billion.
Read also: bad news! Bitcoin is no longer a coin in El Salvador
