Crypto Prices Drop — What’s Causing It?
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The cryptocurrency market is down today due to Trump's latest restrictions on Nvidia, reports that China may dump its Bitcoin stash and weakening technicals.
The combined valuation of all cryptocurrencies has fallen by around 3.65%, or $97 billion, in the past 24 hours to reach $2.58 trillion on April 16.
Export restrictions on Nvidia hurt stocks, crypto
Today, the crypto market’s declines mirrored similar downside sentiment in the broader risk market.
Wall Street sentiment turned sour after the Donald Trump administration imposed new restrictions on Nvidia’s chip exports to China, stoking fears of another intense tariff cycle.
On April 16, Nasdaq 100 futures dropped over 2.30%, while European markets sank, with chipmakers ASML Holding NV falling more than 7% on weaker demand expectations. The market turbulence spilled over into cryptocurrencies, a sector that has shown a consistent correlation with US stocks since May 2020.
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