Bitcoin dropped by 4% over the past 24 hours, amid reports that U.S. Tariffs will be imposed on major trading partners. The announcements of President Donald Trump on tariffs are dramatic enough to make crypto traders nervous, and Bitcoin and other altcoins react accordingly.
Bitcoin (BTC), the cryptocurrency, recovered its value earlier in the week. Traders were confident about recent reports indicating that Trump may opt for a smaller tariff than originally suggested. U.S. Donald Trump and Canadian Prime Minister Mark Carney spoke Friday morning, with initial reports being favorable.
Trump said It was a phone call “very, very good”Addition “I think things will work out very well.” Carney said both sides had reached an agreement to start the process. “comprehensive negotiations.”
It is still unclear if Trump plans to announce new tariffs against Canada, China, and Mexico by April 2. Up until then, Bitcoin and other altcoins will be more volatile and subject to price fluctuations.
DogecoinDOGE( XRP These two altcoins held their ground despite the steep Bitcoin price fluctuations and Trump’s announcements on tariffs.
The crypto sector is the hardest hit by Trump’s tariff war
Bitcoins have dropped in value after almost every Trump announcement regarding tariffs. Altcoins, however, have suffered a greater loss, as the total market capitalization for altcoins is down 23% on a year-to date basis and 4% per day.
Crypto, including Bitcoin, has seen its total market cap drop by nearly 36% since December 7th, 2024, when it peaked at $1.65 trillion.
Most affected categories are meme coins, Solana based and Base based meme tokens as well as AI agent and AI launchpad. Dogecoin and other blue-chip meme currencies have held gains since 2024. XRP has also remained strong after the Securities and Exchange Commission’s $50 million settlement.
Even in the face of uncertainty caused by the Trump Administration’s executive orders and tariff announcements, traders DOGE andXRP have consistently made profits, even during Q1 2025.
Bitcoin, Dogecoin, and XRP were the 3 top crypto winners
Bitcoin has held steady despite the tariff announcements and four recent flashcrash that resulted in a loss of between 20% and 30% BTC. BTC investors and analysts are certain that Bitcoin has reached its bottom cycle under $77,000. This is a low of more than a month.
Bitcoin was hovering around $84,000 Friday. There is an increase in demand from institutions and the capital flowing into ETFs based in America. Wall Street Institutions are eager to include Bitcoin in their Treasury/Balance Sheet.
Dogecoin was the most popular meme currency in the industry. XRP came second. In the last 6 months DOGE has increased by nearly 41% and XRP, almost 260%.
DOGE could test resistance at the $0.20404–$0.21465 imbalance zone. The token could find 10% support lower near $0.16054. This is the upper limit of the bullish fair-value gap.
Dogecoin is expected to recover based on technical indicators, such as RSI or MACD. The meme coin may recover from Friday’s 5% decline in price and will retest resistance next week.
Long-term Bitcoin, Dogecoin, and XRP holders can take advantage of this current market cycle to profit from their previous purchases.
XRP’s chart suggests that the price could continue to decline. Both the MACD and RSI are trending down, with a red bar above neutral.
XRP is still holding onto the gains it has made in six months. Ripple’s partial wins include the SEC settlement, and a reduction by 60% in the proposed agreement.
If the price continues to fall, XRP may test its support level at $1.9575, which is down 11%, while a rally might push it up to $2.5900 – an increase of 18% from current levels.
Donald Trump’s tariff war has increased the pressure on meme coins and altcoins.
U.S. Trade tensions grew amid tariffs and President Trump’s announcements. Top altcoins like Cardano (ADA), Solana (SOLChainlink (LINK() was the most heavily affected cryptocurrency among those ranked within the top 30 by capitalization.
Dogecoin (ETH) and XRP (XRP) are still holding onto their gains of double digits from 6 months ago. Ethereum (ETHThe altcoin ( is among the most severely affected, even though it was classified as a product and included in the U.S. cryptocurrency stockpile.
The crypto Fear & Greed Index shows traders remain fearful, though less so, relative to last week and last month. In the chart, you can see that it reads 44.
Memecoins have a high level of speculation compared to all other categories of crypto. This means that they tend to exhibit stronger reactions from traders in times of price fluctuations, uncertainty, and volatility.
While memes offer traders higher risk and greater reward, macroeconomic events, tariff announcements, and geopolitical tensions typically weigh negatively on the industry, wiping gains out and driving out capital as traders become less willing to take risks.
Lark Davies, Bitcoin enthusiast and analyst, believes the news of tariffs will be the most devastating for cryptocurrency, as it could cause altcoin owners to suffer more before they see any signs of recovery.
In order to recover altcoins the mood among traders has a crucial role, because meme coins and tokens with low market caps have a higher retail participation than institutional capital flows.
Crypto traders should prepare themselves for the announcement of tariffs
As Liberation Day (2 April) approaches, traders should prepare themselves for a temporary slowdown. Bitcoin might test resistance around $88,000. This level acted in support on the short-term. The US Federal Reserve’s dovish position and Trump’s indications of a “benign” According to an expert, a tariff strategy may help traders feel more confident. K33 research report Published on 25 March.
Altcoins are likely to be hardest hit by market announcements, given that the positive ETF netflows towards Bitcoin and Ethereum have been in decline. The overall activity of the derivatives markets remains low. Leverage is weak and yields remain muted.
Analysts consider Liberation Day to be a historic day, and crypto traders are advised to avoid adding derivatives before the event. Analysts expect that the volatility of the cryptomarket will be shaped by April 2, as traders take in tariff announcements, and international markets react.
Ethereum, which plays a prominent role on DeFi, is most likely to be affected.
Ethereum has now been declared the second largest cryptocurrency. “dead” The a “zombie token” Analysts at various points in this market cycle. Ether is more affected than other altcoins because Ethereum, which forms the foundation of DeFi’s entire ecosystem (which includes Layer 2, Layer 3, and Layer 4) has a greater impact.
Zack Shapiro is the head of the Bitcoin Policy Institute and believes that Ethereum was the hardest hit during the downturn in the cryptocurrency market, as DeFi relies on automated trading. The sharp fall in ETH prices is most likely due to leverage, which drives whales’ and large entity’s large-volume sales, profit-taking, and loss-realization.
Ether’s price is negatively affected when institutional investors liquidate their positions. The altcoin takes the biggest hit.
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Source: crypto.news
