Over the weekend, Bitcoin, Ethereum, and other top altcoins spiked following news that the United States plans to create a crypto reserve. Bitcoin broke $93,000, while XRP climbed to nearly $3. However, the rally was short-lived.
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Why Crypto Is Crashing Now
On Monday, March 3, 2025, the market turned sharply downward. Prices slumped, with Bitcoin now trading below $85,000 and Ethereum hovering around $2,070.
Other altcoins are also in the red, posting double-digit losses within 24 hours. Overall, the total crypto market cap has shed nearly 12%, falling to $2.86 trillion.
More losses could loom in the coming sessions. Notably, this downturn aligns with the U.S. imposing tariffs on Canada, Mexico, and China.
The Trump administration has enacted 25% tariffs on imports from Canada and Mexico, with energy products facing a 10% tariff, and an additional 10% tariff on Chinese goods. These measures, effective March 1, are raising concerns about restricted goods flows, which may explain the synchronized drop in crypto and equities.
As long as the S&P 500 and Nasdaq decline, crypto and Bitcoin prices are likely to follow suit due to their direct correlation. Amid market uncertainty, investors are offloading equities and crypto, seeking safer alternatives like bonds.
Tariffs could drive inflation higher as businesses pass on added costs, and while Bitcoin is often touted as an inflation hedge, its status as a risky asset means it may suffer from capital flight and trade restrictions in the short term.
On a brighter note, a potential Russia-Ukraine peace deal could lower energy prices, cooling inflation.
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However, if a full-fledged trade war emerges—with retaliatory tariffs from China, Canada, and Mexico—the markets could sink further.
For Bitcoin, support lies at $79,000; if breached, prices might slide toward $50,000 in a bear trend continuation pattern.
Time To Buy Best Wallet Token?
As crypto prices plunge, investors are exploring alternatives, and one standout is Best Wallet, whose presale is underway.
Best Wallet is a popular non-custodial wallet recently upgraded to support multiple blockchains.
At its core is the BEST token, offering holders transaction fee discounts on the built-in DEX and the yet-to-be-launched Best Card.
Additionally, BEST can be staked for a 150% APY, though yields vary based on the amount locked.
Reflecting blockchain’s ethos, BEST holders can vote on key decisions shaping the platform’s future.
In the ongoing presale, BEST is trading for $0.0242, with nearly $11 million raised.
Investors can purchase it using debit or credit cards, USDT, or other cryptos like ETH.
With creators aiming to rival top non-custodial wallets like MetaMask and Coinbase Wallet, BEST could benefit from widespread adoption.
What separates Best Wallet from others is the fact that it has multiple features, including the popular “Upcoming Tokens” sections. Here, BEST holders can easily access exclusive presales with high potential.
The wallet is also gaining traction and more users prefer the platform. So far, it has over 500,000 active users.
Accordingly, though there are no guarantees, BEST prices may rise after token listing on top exchanges like Uniswap.
Crypto prices crashing on President Trump's tariffs. Investors buying Best Wallet token
- Crypto prices crashing. Bitcoin drops below $85,000
- United States begins imposing tariffs on Canada, Mexico, and China
- Best Wallet presale raises nearly $11 million
The post Why Is Crypto Down Today? Why Is Crypto Crashing? appeared first on 99Bitcoins.
