Cryptocurrency prices faced a significant downturn following U.S. President Donald Trump’s announcement of imposing tariffs on goods from major trading partners such as Canada, Mexico, and China. Bitcoin plummeted below $100,000 but later recovered slightly after Trump paused tariffs on Mexican goods. Ethereum, dogecoin, and other cryptocurrencies experienced notable price drops, with some falling over 10% in response to the tariff news.

The global financial markets witnessed a sell-off as Trump’s tariffs loomed, causing uncertainty among investors. Trump’s endorsement of cryptocurrencies, including his own meme coin, contrasts with his previous skepticism, signaling a shift towards embracing digital assets both personally and as part of government policy. Despite the recent market turbulence, cryptocurrencies have seen significant value appreciation since Trump’s presidency began, with bitcoin still hovering near its all-time high of $109,000.

Meme coins, characterized by extreme volatility and speculative trading, have gained attention in the crypto space. Trump’s meme coin and First Lady Melania Trump’s coin experienced sharp declines from their peak values, highlighting the unpredictable nature of these assets. Trump’s vision to position the U.S. as a hub for cryptocurrencies is reflected in his policy decisions and appointments of crypto-friendly officials, underscoring the evolving landscape of digital assets in the financial world.