Bitcoin Briefly Drops Below $113,000 After Trump Announces New Tariffs
On Tuesday, crypto and stock markets saw a slight downward correction. Bitcoin (BTC) fell below $113,000 after U.S. President Donald Trump announced that new tariffs would be implemented next week. The crypto market dropped 1.82%, while S&P 500, Nasdaq, and Dow declined by 0.28%, 0.36%, and 0.03% respectively.
Trump stated that the new tariffs would apply to goods within “specific categories”, including pharmaceutical products and semiconductor chips. A small initial tariff will apply to pharmaceuticals but will gradually increase to 250% over the coming years.
As of the evening of August 5, bitcoin was priced at $113,835, down 1.1% over 24 hours, according to CoinGecko. Its weekly performance was even weaker, down 3.93% over 7 days. Volatility remained moderate, with BTC trading between $112,701 and $115,729.
Daily trading volume increased by 10.52%, reaching $59.43 billion compared to Monday, while market capitalization dropped 2.08% to $2.25 trillion. Bitcoin’s market dominance rose to 59.9%, indicating that BTC declined less than the broader crypto market.
Total open interest in BTC futures fell slightly over 24 hours by 0.15% to $80 billion. Liquidations totaled $54.28 million, with $48.68 million from long positions and $5.6 million from shorts.
See also: "40% of All Blockchain Fees Come from USDT Transactions"
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