US Tariffs Trigger $661 Million Crypto Bloodbath: Bitcoin Plunges 11% to $77K as Ethereum Sinks Below $1,600

​The cryptocurrency sector maintains high market volatility because the rising trade conflicts between the United States and China have triggered major digital asset values to decline. The price of Bitcoin (BTC) dropped to below $80,000 and achieved an 11% reduction that positioned it at approximately $79,000. Ethereum (ETH) experienced a major drop, which pushed its price to approximately $1,592.50 as it decreased by 11%.

Analyzing the Impact of US Tariffs on Ethereum and Bitcoin Price Trends

The market downturn happened during the U.S. administration’s announcement of extensive trade tariffs, which created fears about a severe trade conflict along with a worldwide economic crisis. Market conditions suffered a strong influence from these developments, causing investors to become more volatile. The long liquidations of Bitcoin reached $250 million during the past 24 hours, which stands as the most significant liquidation since March 7. A substantial amount of selling occurred on Ethereum, which resulted in $411 million worth of liquidations throughout the entire cryptocurrency market. ​

The “death cross” pattern in technical indicators signals more negative market momentum for Bitcoin because the 50-day moving average now sits below the 200-day moving average, thus predicting additional price drops. The anticipated key points for market support lie at $74,000, $65,000, and $57,000, while prices should encounter resistance at $87,000. The current economic tension has prompted analysts to maintain careful monitoring of these technical indicators because of market instability that continues to impact investors’ decision-making.​

The Effect of US Trade Conflicts on Bitcoin Price

BTC/USDT underwent a quick price recovery from the $74,700–$75,000 support range, which the green band demarcates, after experiencing a major price decrease. The Bitcoin price has been impacted by the US Tariff, with a “death cross” pattern in technical indicators signaling more negative market momentum. The price actions along an uptrending trendline have created higher supports that currently test this crucial resistance area around $77,900. 

Chart 1 – Analyzed by Triparna Baishnab, published on TradingView on April 9, 2025

The RSI signal points to potential trend exhaustion because it stands at 69.52 percent of the overbought range. The MACD has generated bullish crossover signs, which back buying pressure because its upward momentum remains strong even if the price experiences resistance from the red zone. The price breaking through this resistance would establish bullish continuation, but a rejection could trigger a downward pullback to the trendline.

How have US Trade Conflicts Impacted the Ethereum Price?

The Ethereum price has also been affected, experiencing an 11% reduction and positioning itself at approximately $1,592.50. The ETH/USDT price shows sudden movement against the $1,420 demand area that remained unbroken during an extended bearish phase. The price trend gradually rises along an ascending trendline toward the significant resistance area, which spans between $1,500, as shown by the red bands.

Chart 2- Analyzed by Triparna Baishnab, published on TradingView on April 9, 2025

The RSI meter shows 66.10 at present, which indicates rising bullish trends, yet indicates the market might enter an overbought state. The bullish trend received additional backing when the MACD generated a Golden Cross. ETH will try to surpass the $1,500 resistance but will do it poorly, failing the breakout and then retesting both the trendline and lower support positions.

Quick Look into the Future Prospect 

A surge in tensions during the U.S. and China trade war caused major crypto market declines that led to Bitcoin reaching $80,000 and Ethereum falling to $1,592.50, besides driving $411 million in positions into liquidation. Investor wariness due to macroeconomic instability caused Bitcoin to drop below $80,000 while Ethereum fell to $1,592.50. BTC and ETH traders must maintain high alert due to dominating death cross patterns together with resistance zones on their charts. The RSI and MACD indicators indicate potential short-term recovery, but the current market sentiment continues to be weak. The upcoming period will show if Bitcoin, along with Ethereum, can keep their upward momentum going or if sustained retracement will happen due to current geopolitical uncertainties.

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