Bitcoin (BTC), the world’s most dominant cryptocurrency, has experienced a sharp decline, falling below $91,000 as of February 25, 2025. The drop follows reports of U.S. President Donald Trump imposing new tariffs on Mexico and Canada, triggering a wave of sell-offs in the crypto market.
This is the second time Bitcoin has reacted significantly to the president’s trade policies, underscoring the increasing influence of macroeconomic events on the digital asset space.
Over the past 24 hours, Bitcoin has shed more than 4.5% of its value, marking its lowest level since late November. The downturn reflects a wider market slump, with the total cryptocurrency market capitalization plunging by 8%.
The overall market value dropped from over $3.31 trillion to approximately $3.09 trillion, indicating a substantial investor pullback.
Ethereum (ETH), the second-largest cryptocurrency, saw an even steeper decline, tumbling 8.5% to below $2,500. Meanwhile, XRP also suffered, losing 9% of its value and trading at $2.25. The intensified sell-off extended across speculative assets, forcing leveraged traders into liquidations and exacerbating market turbulence.
The downturn particularly impacted memecoins, which have been under scrutiny due to sustainability concerns and alleged insider manipulations.
Solana (SOL), a key hub for memecoin activity, has lost roughly $50 billion in market value over the past month. Part of this decline stems from the fallout of the Libra memecoin scandal involving Argentinian President Javier Milei.
Adding to the turmoil, Official Trump (TRUMP)—a prominent Solana-based token linked to U.S. President Donald Trump—has plummeted by over 75% from its peak.
This has further fueled skepticism toward speculative assets within the Solana ecosystem. Moreover, an upcoming unlock of $1.72 billion worth of SOL on March 1 is expected to increase selling pressure as new supply enters the market.