The price of bitcoin (BTC-USD) suffered another punishing session on Tuesday, heading towards the $63,000 (£46,712) mark by late-morning in London trade, as uncertainty around tariffs and jitters in tech stocks takes the gleam off risk assets.
Bitcoin, the largest crypto asset by market cap, fell 4.8% in Tuesday trade.
It is 27.8% lower for the year-to-date and is set for its worst month since the crypto collapse of 2022 following the breakdown of the Terra-Luna algorithmic stablecoin.
US-listed spot Bitcoin ETFs saw more than $200m in outflows on Monday.
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The overall market capitalisation of the crypto industry has nearly halved from it’s all-time high, to now trading at $2.2tn, according to data provider CoinMarketCap.
Ether (ETH-USD), the digital asset associated with the ethereum blockchain, also dipped 5.1% on Tuesday, trading close to the $1,800 mark.
Investors are selling riskier assets as uncertainty around trade policies has set in.
US president Donald Trump’s new trade tariffs came into effect at 10% on Tuesday. This is lower than the 15% rate he announced over the weekend following a Supreme Court ruling which said he had unlawfully instigated a large swathe of the levies brought in last year.
The 10% levy that has come into effect has been imposed for 150 days, until July 24, under section 122 of the Trade Act of 1974, which does not need approval from Congress.
“It is far from clear what will happen next and whether a higher tariff rate is still on the way,” said William Bain, head of trade policy at the British Chambers of Commerce (BCC).
Read more: Gold falls as investors book profits amid Trump tariffs
The memecoin (TRUMP-USD) associated with Trump fell 2.7% to $3.26. When the digital asset launched in 2025, it briefly traded above $45 per coin, before bottoming out.
Tech stocks also spiralled on Monday following a post on blogging platform Substack, which knocked confidence. Citrini Research — founded by finance writer James van Geelen — set out a scenario in 2028 where AI disruption has shaken up tech business models, caused mass unemployment and collapsed consumer spending.
The model he sets out name checked a number of cases where agentic commerce and vibe coding challenges the dominance of delivery apps like Uber Eats (UBER) and DoorDash (DASH).
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