Crypto tumbles amid tariff war

Following a bloodbath in global capital markets, the cryptocurrency space has witnessed the shockwaves from the US-China tariff war. Data from crypto exchanges indicates that approximately $230 billion has been wiped out from digital asset markets in the past 24 hours.

The possibility of a financial downturn looms as both the US and China remain locked in their tariff war. As per credible reports, China has retorted to the extortionately high tariffs that the US levied.

Reports indicate that China has levied ‘retaliatory levies’ of 34 percent on all goods imported from the US. Moreover, China has restricted the export of seven rare elements, further escalating the trade war.

According to a mainstream crypto exchange, an 8.82 percent decline has been recorded in the total crypto market cap over 24 hours, causing it to fall to $2.42 trillion.

As of publishing, Bitcoin was in the red as it fell by approximately 7.46 percent in 24 hours – with its price plummeting to $76,687.34. Ethereum (priced at $1484.14), the second largest cryptocurrency by market cap, registered an even sharper fall,  with its value shrinking by 17.07 percent.

Solana (SOL), Doge coin (DOGE) and Ripple (XRP) remained locked in a free fall, too. According to data from exchanges, DOGE fell by 16.12 per cent, while both SOL and XRP fell by approximately 15.5 percent.

In mere hours, the Fear and Greed Index value plummeted from a conservative 27 to an even lower value of 17. With fear gripping investors and the subsequent fall in market cap, it could signal the start of a bear run.

The CoinMarketCap 100 (CMC100) index measures the performance of the most important digital assets based on market cap. As per data from coinmarketcap.com, the CMC100 has fallen by a staggering 8.02 percent in the past 24 hours and has come to settle at $147.42.

While most digital assets remained in the red, capital markets fared even worse. The New York Stock Exchange (NYSE) composite has recorded a sharp decline of 6.12 percent after falling by an alarming 1,148.58 points in 24 hours and currently sits at 17,618.61 points.

The National Association of Securities Dealers Automated Quotations (NASDAQ) has plummeted by a whopping 5.82 percent as it fell by 962.82 points during trading hours to settle at 15,587.79. For reference, the NASDAQ is the second largest US-based stock exchange by market capitalization - second only to the NYSE.