Ethereum (ETH) and XRP have followed a similar downward trajectory, with ETH priced at $2,531.85 (down 4.47% in 24h) and XRP at $2.33 (down 3.84% in 24h).

While short-term volatility is common in the crypto market, one major geopolitical development may be intensifying the sell-off: Former President Donald Trump’s announcement of a proposed 50% tariff on European Union goods. In a Truth Social post on Friday, Trump cited stalled trade negotiations and accused the EU of unfair practices, recommending the tariff take effect from June 1, 2025.

This aggressive stance triggered a sharp drop in European markets, with Germany’s DAX and France’s CAC both falling over 2.6%, and the UK’s FTSE down 1.3%. Such geopolitical tensions and market reactions can spill over into the crypto sector, as investors brace for wider economic instability and risk-off sentiment.

As always, the crypto market remains highly sensitive to macroeconomic signals and geopolitical developments.

The post Bitcoin Dropped Under $110,000 — What Could Be the Reason? appeared first on Coindoo.

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Filed under: Bitcoin - @ May 23, 2025 12:23 pm