After a strong start to the week, the crypto market takes a sharp turn as Trump’s latest statement triggers investor fear.
The cryptocurrency market commenced the new week on a positive trajectory, with Bitcoin and numerous altcoins experiencing steady gains. However, this momentum proved to be short-lived. As of this afternoon, prices have sharply reversed, raising concerns among analysts. One potential explanation? A sudden announcement from U.S. President Donald Trump that unsettled global markets.
A Promising Start Encounters an Abrupt Reversal
During the night, Bitcoin nearly reached $120,000, continuing its recent upward trend. Nevertheless, the rally came to a halt around 2:30 PM CET, leading to a rapid decline in prices. At present, Bitcoin is trading at approximately $118,000, reflecting a decline of about $2,000 from its recent peak. In terms of euros, Bitcoin is currently valued at €101,410, which is a decrease of 0.37% compared to 24 hours prior. While this may appear to be a minor percentage drop, the pullback feels more pronounced considering how close Bitcoin was to surpassing its previous all-time high.
Source: Coinmarketcap
Instigated by Trump
The abrupt shift in the market seems to align with new statements made by President Donald Trump, who remarked earlier today:
"We’re going to impose a tariff on the rest of the world, and that’s what they’ll have to pay."
His comments follow just a day after optimistic news regarding trade relations—specifically, a renewed truce with China and a new agreement with the European Union. Initially, markets had responded favorably to these developments. However, Trump’s latest warning has reintroduced fear into the financial landscape, causing the crypto market to decline alongside traditional stocks when U.S. markets opened. This is not the first instance of cryptocurrency demonstrating sensitivity to geopolitical instability and global trade conflicts. Bitcoin is increasingly behaving like a risk asset, rather than a safe haven.
Analyst Concerns: Declining Highs and Critical Support Levels
Popular cryptocurrency analyst Nebraskangooner has highlighted a concerning technical trend. Bitcoin’s latest peak of $119,800 is lower than the previous week’s high of $120,300—indicating a potential lower high, which may suggest weakness in the ongoing uptrend.
In contrast, Ethereum experienced a more volatile journey. It soared to $3,940, marking its highest point since December. However, similar to Bitcoin, it swiftly retraced and is currently stabilizing just below $3,800. This decline is noteworthy, as many traders were eyeing the $3,900 mark as a crucial breakout level.
"Ethereum must remain above $3,740. Falling below that support would signal a warning," stated Nebraskangooner.
#Bitcoin vs #Ethereum
— Nebraskangooner (@Nebraskangooner) July 28, 2025
My main concern here is that $BTC made a lower high while $ETH made a higher high on declining volume
Often times this will lead to a dump. We need Bitcoin to break upwards soon & we need Ethereum to hold $3740. If it loses $3740 that would be a red flag pic.twitter.com/wWHqbtPReq
Altcoin Overview: Mixed Indicators
The wider altcoin market presents a varied scenario:
• XRP, Dogecoin, and Cardano have all decreased by approximately 1% today.
• BNB (Binance Coin) stands out, achieving a 5% increase and reaching a new all-time high, despite a slight pullback from its intraday maximum.
The resilience of BNB provides some optimism, yet analysts warn that the strength of individual altcoins alone cannot reverse the overall trend. A resurgence of momentum across the market is essential.
Concluding Thoughts: Market Uncertainty Prevails
Today’s market reversal highlights the extreme volatility and fragility of sentiment within the cryptocurrency sector. Positive trading developments were swiftly eclipsed by political tensions, and charts that appeared bullish just hours earlier are now raising concerns.
With Bitcoin testing its support levels and Ethereum needing to maintain its position above $3,740, all attention is directed towards the upcoming trading sessions. Whether this represents merely a short-term shakeout or the onset of a more profound correction is yet to be determined—but for the moment, analysts are transitioning from a stance of confidence to one of caution.
The weekend is over and I am back, or at least I hope so😝