Crypto market sell-off : What’s triggering the 4.3% crash amid global market chaos?
Donald Trump is an American former president, politician, businessman, and media personality, who served as the 45th president of the U.S. between 2017 and 2021, News.Az reports citing Binance.
He earned a Bachelor of Science in economics from the University of Pennsylvania in 1968. Trump won the 2016 presidential election as the Republican Party nominee against Democratic Party nominee Hillary Clinton, despite losing the popular vote.
As president, Trump ordered a travel ban on citizens from several Muslim-majority countries, diverted military funding toward building a wall on the U.S.–Mexico border, and implemented a family separation policy.
Trump's introduction of an aggressive tariff plan has contributed to extreme instability in the global market. As of now, none of the top global markets are showing bullish signals, except China. The S&P 500 daily performance index shows -1.57%, and the EURO STOXX 50 daily performance index sits at -3.16%. Likewise, the Nikkei 225 index remains at -3.93%, NIFTY 50 at -0.59%, and the ASX 200 at -1.80%. As panic spreads, US government bond yields are rising fast, signalling a flight to safety. However, in the last 24 hours, the crypto market has declined by 4.3%.
Bond Yields Surge as Investors Flee Risk
At the start of this month, the US 30-year government bond yield was at 4.581%. On April 4, it touched as low as 4.331%, and currently sits at 4.806%. Between April 7 and April 9, it climbed from 4.343% to 4.841%.
During the same period, the US 20-year bond yield grew from 4.367% to 4.897%. The 10-year bond yield surged from 3.897% to 4.352%, and the 5-year yield increased from 3.570% to 3.944%.
Interestingly, except for the 5-year yield, all the other markets are now showing slight bearish signals.
Today, the 30-year yield has dropped from 4.841% to 4.805%, the 20-year yield from 4.897% to 4.845%, and the 10-year yield from 4.352% to 4.335%.
Meanwhile, the 5-year bond yield has grown from 3.944% to 3.975%.
Experts believe it is too early to confirm a trend shift in the US bond market, which has been attracting investors since the beginning of the latest market turmoil.
Crypto Market Reacts: 4.3% Drop in 24 Hours
In the last 24 hours, the cryptocurrency market has seen a drop of no less than 4.3%. Almost all the top cryptocurrencies have shown bearish signals. During this period, Bitcoin slipped by over 2.2%, Ethereum by 5.6%, XRP by 2.5%, BNB by 0.1%, Solana by 0.9%, TRON by 2.3%, and Dogecoin by 3.6%.
At the start of this month, the Bitcoin market stood at $82,556.42. On the second day, it declined from $85,165 to $82,525. On the day the 30-year bond yield hit its monthly low, the BTC market rebounded to $83,860. However, since April 5, the market has declined by over 7.94%.
Currently, the market is showing bullish signs. Today, it has grown from $76,344 to $77,296.
Conclusion
The bond market’s rising yields often reflect growing economic uncertainty, pushing investors to seek safety in government securities. This “risk-off” sentiment tends to hurt high-volatility assets like cryptocurrencies. However, any shift in bond trends, such as the one currently being observed in the longer-term yield markets, may eventually reverse this pressure, allowing the crypto market to regain momentum.
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