The biggest collapse he has seen since the COVID crisis of the crypto market experienced last night. The fact that US President Donald Trump turned to customs duties as soon as he took office shook the balance of the global economy. 25 percent of the goods imported from Canada and Mexico and 10 percent of customs duties to China was not welcomed by the markets.
After the Trump administration announced that Canada and Mexico would retaliate to the customs duties implemented by the Trump administration, the markets were even more concerned about. Unlike Trump, who claims that customs duties will be for the benefit of the US economy, the general opinion in the market is that the course is negative.
“Customs duties will have a sudden and negative impact on the US”
Contrary to Trump’s statements in the minvali, which is frequently spent, “I love customs duties”, there is a different picture. As a matter of fact, these customs duties mean a raise for imports from these countries. Therefore, the market has a negative pricing of a possible inflationary pressure. Analyst Brad Setser, who spoke to Voice of America, says customs duties will “have a sudden and negative impact on the US economy” and this is a strategy to reduce the US economy.
Rishing customs duties from Canada and Mexico
Canadian President Justin Trudeau responded to US goods with 25 percent customs duties, and Trump’s trade wars fueled the idea that the chained effect brought harm to the US economy. Stating that these customs duties will be applied to US goods of 155 billion dollars, Trudeau said that the 30 billion dollars of customs duties will enter into force on Tuesday and the other 125 billion dollar party within 21 days.
Likewise, the President of Mexico announced that they will retaliate. Mexican President Claudia Sheinbaum, who said, is in order to implement the implementation of the prevention package containing customs duties to protect Mexico’s interests, but that the government is in favor of dialogue, but they had to respond to Trump’s move.
The turmoil in global trade has brought a collapse to the crypto market, which has been closely following a close relationship with the stock markets. Bitcoin (BTC) decreased to 92 thousand dollars on Sunday, February 2, while Ethereum (ETH), which came immediately in terms of market value, lost 18 percent and XRP (XRP) 20 percent.
2.24 billion dollars evaporated from the market
With a historical decline in the crypto market, investors who opened a long position in the futures market, that is, Long positions, were dumped. In the last 24 hours, the Long position of 1.88 billion dollars was liquidated, while the total amount of liquation reached $ 2.24 billion.
Altcoins cried blood
After the historical decline, Bitcoin’s market domination, which was closely followed by Altcoin investors, rose to 60. Dogwifhat (WIF) in the last 24 hours, 26 percent, Filecoin (FIL) 26 percent, FLOKI (FLOKI) 26 percent, SPX6900 (SPX) 26 percent and Gala (Gala) 25 percent of the gigantic blood loss.
Markus Thielen, the founder of the crypto analytical company 10x Research, who evaluated the subject, pointed out that the process volumes in the spot have been low for about two weeks: “This was anorexia and insecurity in investors.”
The fear and greed index turned to the level of about three months ago and fell to 39 points. It is useful to remind that the index saw 55 points last week.
