Amid a broader market crash, investors continued to assess the U.S. government’s impact, causing bitcoin and ether to fall further on Monday evening (March 10, 2025): President Donald Trump’s Bitcoin reserve scheme and concerns over trade policies and a possible recession.
According to The Block’s price page, at one point this evening, Bitcoin fell 5% below $77,000 before bouncing back to $78,250 by the time of publication. At $1,820, its lowest point since October 2023, Ether traded 11 percent lower.
Among the top ten cryptocurrencies, Dogecoin fell 14 percent, the largest decline. Cardano dropped 10.2% and XRP 10.7%.
The United States, both having their worst day of the year, the Dow ended 2.08% lower and the S&P 500 fell by 2.7% on Monday, the stock market also dropped. According to CNN, the tech-weighted Nasdaq Composite fell 4 percent, its worst one-day drop since September 2022.
Peter Chung, head of research at Presto Research, said that more offhand remarks by Trump that the market crash was “ok” and that he would not rule out a depression caused by tariff uncertainty only added to the already violent selloff around Wall Street.
Chung mentioned and sold risk assets as falling in value rather than just in cryptocurrencies. Rather than any particular news story, it is the market repugnance that is agitatedly on display, having spent the weekend pondering the latest events surrounding the tariffs, trade war, and recession worries amid the D.C. reduction in spending.
Trump has increased the tariff on Chinese imports to 20 percent from its previous level. America. The leader also warned of heavy tariffs on goods coming from Canada and Mexico, but he later postponed the deadline to April 2.
Cofounder of BitMEX, Arthur Hayes, advised investors to stay patient. The intention: Be patient. BTC finds its bottom near $70k. For a bull market, 36% change from $110k ATH [is very] ordinary,” Hayes remarked.
“Traders will buy the dip; if you are more risk-averse, wait for the central banks to ease, then use more capital.” You wouldn’t need to go through a long period of sideways and probably unappreciated losses either, Hayes notes.
Chung of Presto pointed out that it’s hard to say how long this would go on but considering the rising market hope of a Fed rate reduction in the first half of the year given the market jitters, the FOMC next week (March 19) is “the next important event to watch for any hint on possible bottoming.”
Chung added, “Powell will most probably leave the rate unchanged, but the market will be closely searching for any dovish language in his briefing, which could suggest possible May or June FOMC cuts.
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