Bitcoin Crashes Amid Market Turmoil, ₹19 Lakh Crore Wiped Out

New Delhi (The Uttam Hindu): The digital currency market has taken a significant hit as Bitcoin dropped below $90,000, along with sharp declines in Ethereum, Solana, and other major cryptocurrencies. The market downturn is attributed to new US investment restrictions on China, which have triggered uncertainty among investors. On Tuesday, February 25, 2025, Bitcoin fell 5.4% to $89,626, while Ethereum dropped 7.7% to $2,498. The global crypto market cap also declined 4.7% in the last 24 hours, shrinking to $2.98 trillion, with Bitcoin’s market capitalization falling to $1.825 trillion.

The economic turmoil in the US, particularly investment bans on China and new tariffs on Canada and Mexico announced by US President Donald Trump, has further fueled investor anxiety. This has led to increased pressure on the US dollar and negatively impacted retail sales, compounding market instability. Experts believe that Trump's 25% tariffs on Canada and Mexico have sent shockwaves through global markets, directly influencing crypto investments. Analysts suggest that inflation concerns and trade disruptions are leading to short-term sell-offs, though investors are advised to monitor the responses of affected countries.

The broader crypto market has also suffered, with altcoins experiencing sharp declines. XRP dropped 9%, BNB fell 7%, and Solana recorded a significant 15.5% decline. Dogecoin, Cardano, Chainlink, Tron, Sui, Avalanche, Stellar, Litecoin, Shiba Inu, and Hedera registered losses between 6% and 17%. Market analysts warn that ongoing global economic uncertainty and trade tensions between major economies could continue to influence the volatility of digital assets in the coming weeks.