Brace Yourselves: Crypto Markets Reel as Trump's Tariffs Trigger Bearish Frenzy

Holy smokes, folks! The crypto markets are on edge as traders are gripped by fear thanks to Trump's latest tariff bombshell. The vibes are seriously bearish out there!

Listen up, the trade war between the U.S. and pretty much everyone else is sending shivers down traders' spines. On April 4th, funding rates on both centralized and decentralized exchanges plummeted below the 0.005% mark. That's a red flag screaming "extreme bearish sentiment," people!

And get this, liquidation rates have tanked by a whopping 42% in just 24 hours. You might think that's a good thing, but nah, it just means traders are playing it safe and sitting on the sidelines. Trading volumes have taken a nosedive too, dropping 22.71% in a day to a measly $247.6 billion. The market's basically in a coma right now!

Bitcoin on the Brink: Death Cross Looms Amid Tariff Chaos

Hold onto your hats, because the market's flashing more distress signals than a sinking ship. On April 3rd, the crypto fear and greed index plunged into "extreme fear" territory, clocking in at a measly 25 points. And if that's not bad enough, Bitcoin (BTC) took a nosedive to $81,000 after the tariff announcement and is now staring down the barrel of a "death cross." That's right, folks, we're talking high volatility and potential disaster!

Ugly daily on Bitcoin

Rejection at the 50 and 200 day moving averages

Death cross imminent pic.twitter.com/YJMmvC4Eef

Bitcoin's 50-day moving average is inching closer to its 200-day moving average, and if it crosses below, watch out! That's a bearish indicator that screams "turbulence ahead" for the entire crypto market.

Ever since Trump dropped the tariff bomb on April 2nd, both the crypto and stock markets have been in full-on panic mode. We're talking a 10% tariff on all foreign goods, with even steeper tariffs on certain countries. China got hit with a whopping 34% tariff, and they're not taking it lying down!

China, the EU, and others are gearing up for some serious retaliation, and traders are freaking out. They're worried this escalating trade war could send consumer prices through the roof, mess up global supply chains, and even trigger a recession. Buckle up, folks, it's gonna be a wild ride!