US–EU Tariff Row Sparks Crypto Sell-Off; Bitcoin, Altcoins Fall Amid Macro Data Risk
Global political tensions after a US announcement of 10% tariffs on goods from eight European countries triggered a sharp risk-off reaction across crypto markets. The total crypto market cap fell about 3% in Asian hours to roughly $3.21 trillion. Bitcoin led losses, sliding from around $95,000 over the weekend to under $92,000 on some exchanges. Ethereum fell but remained above $3,200; several altcoins including XRP, SOL, DOGE and ADA saw notable declines while Monero (XMR) rose about 10% to $615. Markets were also sensitive to upcoming US GDP and delayed PCE inflation data plus China and Japan central-bank decisions, increasing short-term volatility expectations. Traders should expect fluctuating, high-volatility conditions driven by tariff headlines, inflation prints and central-bank messaging in the near term. This report does not constitute investment advice.
Bearish
The article describes an immediate risk-off reaction after geopolitical escalation (US tariffs vs EU) and accompanying macroeconomic uncertainty. Historically, such cross-asset risk aversion (trade tensions + uncertain inflation/central-bank signals) compresses risk asset prices, including cryptocurrencies, producing sharp short-term downside; examples include crypto drops during US-China trade escalations and during hawkish Fed surprises. Key drivers here — tariff headlines, upcoming US GDP/PCE prints, and Asian central-bank decisions — increase event risk and leverage-related liquidations in crypto, especially for Bitcoin and highly leveraged altcoins. Short-term: elevated volatility and downside pressure likely as traders reduce risk and hedge positions. Medium/long-term: fundamentals for crypto remain tied to adoption and macro liquidity; unless the geopolitical conflict triggers prolonged global growth deterioration or a major policy shock, moves may be temporary and could create buying opportunities for longer-term investors. Risk management: tighten stops, reduce leverage, and monitor macro calendar and tariff developments closely.