Reasons for the Fall in Bitcoin and Ethereum Prices Today

Bittime - Today, the crypto market has experienced a significant decline with the price of Bitcoin falling by almost 5%. Ethereum also fell by around 8%, while Dogecoin recorded the biggest loss among the top 10 cryptos, falling by up to 13%.

This comes after several important events, including an executive order from President Donald Trump establishing a Strategic Bitcoin Reserve. Although this policy is expected to support the development of digital assets in the US, the market still seems to be responding cautiously.

Some analysts say that the causes of the crypto decline, including the fall in the price of Bitcoin and Ethereum, are more related to global trade tensions and the long-term impact of government policies.

Uncertainty regarding the measures the US government will take against digital assets is also adding to market volatility.

Read also: Ethereum Price History 2015-2025

Bitcoin Price Falls After Trump's Executive Order

On Thursday, the price of Bitcoin fell dramatically after President Donald Trump signed an executive order to form the Strategic Bitcoin Reserve.

This order aims to manage and store Bitcoin confiscated in legal proceedings, without using taxpayer funds. However, the uncertainty associated with the implementation of this policy has caused the market to respond with a drop in prices.

In response to this order, the price of Bitcoin fell 5.7% in less than an hour. Although there is speculation that this move will strengthen Bitcoin adoption, many traders are starting to take profits after the price surge that occurred earlier this week.

The policy outlined in Trump's executive order directs the Minister of Finance and Trade to find ways to acquire more Bitcoin without burdening the state budget.

This shows that although the US government has the intention to introduce Bitcoin into the country's financial reserves, it will not happen in the near future, adding to market uncertainty.

The Effect of Trump's Policy on Ethereum Coin

Ethereum is not immune to the impact of today's market decline. The price of Ethereum fell about 8%, moving closer to $2,000, a level not reached since November 2023.

Despite positive news regarding the US government's policy on Bitcoin, investors and traders still seem to doubt the long-term impact of the policy on altcoins like Ethereum.

One of the reasons for the crypto drop is that while Bitcoin is getting special attention from the US government, Ethereum and other altcoins have not received the same policy.

This has caused many Ethereum investors to worry that their altcoin will not receive equal treatment, which could reduce investment interest in Ethereum Coin.

Global Trade Tensions Worsen the Situation

In addition to Trump's executive orders, global trade tensions are also affecting the crypto market. The trade tariffs introduced by the Trump administration have put pressure on global markets and affected the prices of risky assets, including Bitcoin and Ethereum.

With increased economic uncertainty and more volatile markets, crypto investors are more cautious about taking positions.

Analysts predict that in the short term, the crypto market will continue to be influenced by external factors such as trade tensions and global economic policies. This shows that even though Bitcoin and Ethereum have great potential, their prices will continue to fluctuate as the global economic situation develops.

Read also: 4 Factors Affecting the Current Fall in Bitcoin Prices!

Future Outlook for Bitcoin and Ethereum

Despite Bitcoin's falling prices today, many analysts remain optimistic about Bitcoin's long-term prospects as a major digital asset. With Trump's executive order supporting Bitcoin, there is hope that more countries will follow the US's lead in integrating digital assets into their financial systems.

However, Ethereum and other altcoins may have to wait for similar policies to gain greater attention. Many investors believe that Ethereum has the potential to grow as its blockchain ecosystem develops, but for now, Ethereum's price remains influenced by larger external factors.

Future Impact on Crypto Investors

For investors, the reason for the crypto drop today provides an important lesson in monitoring government policy developments and global economic factors that can affect the market. Further clarity from the US government on Bitcoin regulation and open market acquisitions could have a major impact on the price of Bitcoin and other altcoins.

However, the volatility of the crypto market also shows that while there is potential for huge profits, the risks remain high. Therefore, it is important to keep up with market developments and prepare a prudent investment strategy.

With the decline in Bitcoin and Ethereum prices today, it appears that the crypto market is facing a major test.

The reasons for the crypto drop include various factors, from global trade tensions to government policies that still cause uncertainty. Investors need to remain vigilant and be prepared for rapid price changes in this market.

FAQ

What caused the Bitcoin price to drop today?

The price of Bitcoin fell today due to the market's reaction to President Trump's executive order establishing the Strategic Bitcoin Reserve. Uncertainty about the implementation of this policy and global trade tensions also contributed to the decline in prices.

Why did the price of Ethereum fall despite the support policy for Bitcoin?

The price of Ethereum fell because investors felt that Ethereum and other altcoins did not receive the same attention as Bitcoin in US government policy. This adds to concerns about the future of Ethereum as a digital asset.

How do global trade tensions affect the crypto market?

Global trade tensions, including tariffs imposed by the Trump administration, have put pressure on risky asset markets, including crypto. This has caused Bitcoin and Ethereum prices to fall, as investors become more cautious about the existing economic uncertainty.

How to Buy Crypto on Bittime

Want to trade sell buy Bitcoins and crypto investment easily? Bittime is here to help! As an Indonesian crypto exchange officially registered with Bappebti, Bittime ensures every transaction is safe and fast.

Start with registration and identity verification, then make a minimum deposit of IDR 10,000. After that, you can immediately buy your favorite digital assets!

Check the exchange rate BTC to IDR, ETH to IDR, SOL to IDR and other crypto assets to find out today's crypto market trends in real-time on Bittime.

Also, visit the Bittime Blog for interesting updates and educational information about the crypto world. Find reliable articles about Web3, blockchain technology, and digital asset investment tips designed to enrich your crypto knowledge.

Reference

decrypt.co, Why Are Bitcoin, Ethereum Prices Falling? , accessed March 10, 2025.

Author: AWW