Bitcoin’s price has experienced a significant drop from its recent all-time high of $111,900 to around $107,000 following US President Donald Trump’s announcement of potential tariffs on iPhones not made in the USA and EU-imported goods. This news has also impacted the S&P 500 and oil futures, which have both fallen over 1.6% and 0.9% respectively, while gold has seen a 1.5% increase.
Trump’s statements regarding the EU’s trade practices have caused concern in the market, with the President calling for a 50% tariff on EU imports starting on June 1, 2025, unless the products are manufactured in the United States. He also specifically targeted Apple, stating that iPhones sold in the US must be built in the country, or else face a 25% tariff.
The cryptocurrency market has also felt the effects of this news, with all of the top 10 cryptocurrencies experiencing a decline in price over the past 24 hours. Solana has been the best performer, only losing 1.2% due to bullish momentum from the Solana community following Trump’s recent statements. Ethereum, Dogecoin, and XRP have all seen drops of over 4%, with BNB bringing up the rear. Stablecoins like Tether and USDC have remained stable, maintaining their peg within 0.03%.
Overall, this news has caused a ripple effect in the market, with Bitcoin erasing gains made in recent price discovery and other cryptocurrencies following suit. It will be interesting to see how the market reacts in the coming days as traders and investors digest the implications of Trump’s proposed tariffs.