The cryptocurrency market experienced a significant downturn on Thursday due to President Donald Trump’s surprise announcement of tariffs. In a speech from the White House Rose Garden, Trump revealed that there would be a 10% tariff on a wide range of imported goods, with higher tariffs for countries he believes engage in unfair trade practices with the United States. Initially, this news caused a temporary surge in the markets, including cryptocurrencies. However, the optimism quickly faded as the severity of the tariffs became apparent.
Bitcoin, which had been valued at over $87,000, saw a sharp drop below $82,000, representing a 5% decline. Ethereum and XRP also suffered losses, with Ethereum falling below $1,800 and XRP struggling to stay above $2 after a 7% decrease.
In the midst of this chaotic situation, Michael Saylor, the CEO of MicroStrategy, attempted to provide reassurance by tweeting, “There are no tariffs on Bitcoin.” However, this statement was met with skepticism from investors who questioned why the price of Bitcoin was still dropping despite the absence of tariffs.
Despite the uncertainty in the market, MicroStrategy remains committed to Bitcoin. In fact, just last month, the company announced a significant acquisition of Bitcoin, purchasing 22,048 BTC worth $2 billion. This acquisition added to MicroStrategy’s existing holdings, bringing their total Bitcoin holdings to 528,185, valued at approximately $35.63 billion.
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