Cryptocurrency Markets Take a Hit Amid Global Tariff Tensions; Bitcoin, Ethereum Among the Worst Affected

In a sharp turn of events on April 7, the global cryptocurrency market suffered a major blow, as investors reacted to rising trade tensions sparked by US President Donald Trump’s global tariff war. As fears of a recession and economic slowdown increased, most major digital currencies saw a steep decline in value.
This sudden downturn wasn’t limited to crypto alone. Financial markets across the world, including the US and India, also fell sharply as concerns grew over the fallout from the new round of international tariffs.
Bitcoin Falls Below $77,000 as Investor Confidence Drops
Bitcoin, the world’s largest and most well-known cryptocurrency, dropped 7.67% on Monday, bringing its value down to $76,947.87. The fall came as investors began pulling money out of high-risk assets, looking for safer investments amid growing global uncertainty.
Ethereum, another major player in the crypto world, saw an even steeper fall. The currency lost 14.54% of its value, sliding to $1,545.19. Other digital coins like XRP and Solana weren’t spared either — XRP dropped by 17.02% to $1.76, while Solana dipped 15.02% to $101.79.
Even Dogecoin, often known for its popularity on social media, took a hit. It was down by 15.56%, trading at $0.1412.
$160 Billion Wiped Out as Crypto Market Reacts to Global Shock
Avinash Shekhar, Co-Founder & CEO of Pi42, explained the connection between the decline in traditional stock markets and the cryptocurrency selloff.
“As futures on Wall Street dipped and ‘Black Monday’ repeat fears emerged, the coupling between traditional markets and crypto holdings becomes more visible,” he told Mint. “The sudden plunge of Bitcoin below the $80,000 threshold and overall crypto market selloff that erased more than $160 billion in value a pivotal point fueled by macroeconomic uncertainty and investor wariness.”
According to data from CoinMarketCap, the overall global cryptocurrency market capitalisation has now fallen to around $2.5 trillion — marking a 6.59% drop in just 24 hours.
Stock Markets Mirror Crypto Crash in the US and India
The cryptocurrency meltdown reflected what was happening in global stock markets as well. In the US, major indices closed in the red. The Nasdaq Composite — which is heavily weighted toward tech companies — dropped by 962.82 points or 5.82%, ending at 15,587.79.
Similarly, the Nasdaq US 500 Large Cap Index saw a steep decline of 170.18 points or 6.06%, closing at 2,638.28. The Nasdaq-100 also posted heavy losses, falling 1,123.78 points or 6.07% to reach 17,397.70.
Back home in India, the markets opened deep in the red on Monday morning. By 11:45 am, the Sensex had dropped by a massive 2,661.62 points or 3.53%, trading at 72,703.07. The Nifty also wasn’t spared, tumbling by 887.25 points or 3.87% to settle at 22,017.20.