After the value collapsed last weekend, the crypto market continued to be disappointed this week. It all started with the tariffs announced last Saturday, which at this point appears to have been a year ago. The stock market has recovered some of the losses, but the crypto market cannot say the same thing.
According to data provided by S&P Global Market Intelligence, Ethereum (Encryption: ETH) Last Friday closed, a 19.8% drop from Solana (Cryptography: Sol) Cardano, down 14.7% (Cryptography: ADA) 24.2%, XRP (Cryptography: XRP) 19.2% off.
On Sunday night, the market noticed the tariff president announced that President Trump could actually implement this week. China, Mexico and Canada were their first goals, highlighted by a crypto market falling 20% in an hour while the stock market was sleeping, as rhetoric was heated Sunday night.
However, on Monday morning, customs in Canada and Mexico had been postponed for the time being. Stocks recovered, but the crypto market remained relatively stifled accordingly.
Ethereum has been one of the big outliers recently after becoming the hottest blockchain in its final cycle. But new launches like Memecoin are in Solana, and financial innovations are heading towards faster, cheaper chains like Solana and XRP.
The idea that public blockchains are favored is that Commodity Futures Trading Commission Chairman Caroline Fam is planning a digital asset forum with leaders from Ripple (XRP), Circle (USDC) and Coinbase He said. , and others argue to argue that Stablecoins are used as collateral for transactions and potentially tokenize some transactions.
This is something like the innovation the industry wants to see, but it could mean that the stubcoin, a medium of exchange, is less valuable to the underlying blockchain token. This has always been a risk to the value of the token itself.
Since early November, markets have pushed cryptocurrencies high in response to clarity in regulations and hopes that a booming economy will increase its value. However, a few things collided with growth stocks and code at the same time this week.
First, investors are questioning the return on investment for some of the world’s largest tech companies and whether they will grow the industry indefinitely. There was some weak guidance from tech stocks, which caused a bit of a “risk-off” trading.
Second, economic data was not particularly bullish. In January, 143,000 jobs were added, bringing economists below the expected 170,000. And while there is economic growth, there are also indications that growth may not be as strong as expected.
The story continues