The crypto market witnessed a sharp sell off as more than $200 billion vanished within days. Bitcoin dropped below $88,000 during early Asian trading, triggering panic across digital assets. Total market capitalization declined nearly 4 percent, pushing prices back to levels seen earlier this winter.
The downturn was driven largely by growing global uncertainty. Renewed tariff threats from US President Donald Trump against European and NATO nations unsettled investors. At the same time, a major sell off in Japanese government bonds tightened global liquidity, making riskier assets less attractive.
Over the past week, Bitcoin prices have fallen nearly 10 percent, moving within a narrow trading range that had held for two months. Ethereum dropped around 7 percent, sliding back to December lows. Other major tokens such as Binance Coin, Monero, and Hyperliquid also recorded notable losses, while most altcoins declined between 3 and 4 percent.
As investors pulled money from crypto, gold prices continued to rise, signaling a clear shift toward safe haven assets. Market analysts warn that sustained strength in gold often reflects maximum panic conditions. With global liquidity tightening, cryptocurrencies remain vulnerable to further volatility in the short term.
