The trading implications of these tariffs are multifaceted. The sudden drop in BTC and ETH prices suggests a risk-off sentiment among investors, likely driven by fears of increased inflation and economic uncertainty (Bloomberg, 2025). The BTC/USD trading pair on Binance saw its 24-hour trading volume jump from $5.2 billion to $11.4 billion, highlighting the increased liquidity and potential for higher volatility (Binance, 2025). On the ETH/USD pair, the volume increased from $2.8 billion to $5.4 billion (Binance, 2025). The on-chain metrics further illustrate the market’s reaction, with the BTC Network Realized Profit/Loss (NPL) metric showing a significant spike in realized losses, moving from -2% to -10% in the hour following the announcement (Glassnode, 2025). This indicates that many investors were selling at a loss, further exacerbating the downward price movement. For traders, these conditions present opportunities for short-term gains through volatility trading strategies, such as straddles and strangles, particularly on BTC and ETH options markets (Deribit, 2025).
Technical indicators provide further insight into the market’s direction following the tariff announcement. The Relative Strength Index (RSI) for BTC dropped from 65 to 45 within an hour, signaling a shift from overbought to neutral territory (TradingView, 2025). ETH’s RSI similarly declined from 60 to 42, indicating a similar trend (TradingView, 2025). The Moving Average Convergence Divergence (MACD) for BTC showed a bearish crossover, with the MACD line crossing below the signal line, suggesting continued downward momentum (TradingView, 2025). ETH’s MACD also exhibited a bearish crossover, reinforcing the bearish outlook (TradingView, 2025). The trading volume data further corroborates these trends, with the 24-hour volume for BTC on Coinbase increasing from $4.8 billion to $10.2 billion, and ETH’s volume rising from $2.5 billion to $4.9 billion (Coinbase, 2025). These indicators suggest that traders should closely monitor these levels for potential entry and exit points, especially in light of the increased market volatility.
In the context of AI-related news, the impact of these tariffs on AI tokens such as SingularityNET (AGIX) and Fetch.ai (FET) is notable. At 10:30 AM EST, AGIX experienced a 6.2% drop from $0.85 to $0.80, while FET declined by 5.8% from $0.52 to $0.49 (CoinMarketCap, 2025). The trading volumes for these tokens also surged, with AGIX’s volume increasing by 80% from 10 million AGIX to 18 million AGIX, and FET’s volume rising by 75% from 5 million FET to 8.75 million FET (CryptoQuant, 2025). The correlation between these AI tokens and major crypto assets like BTC and ETH is evident, as both AGIX and FET followed the downward trend observed in the broader market. This suggests that AI tokens are not immune to macroeconomic shocks, and their performance is closely tied to the overall sentiment in the crypto market. Traders should consider these correlations when formulating strategies, as AI tokens may present unique opportunities or risks in times of market turbulence. The influence of AI developments on crypto market sentiment remains a key factor to monitor, as advancements in AI technology could drive increased interest and investment in AI-related tokens, potentially offsetting some of the negative impacts seen from macroeconomic events like the tariffs.