The cryptocurrency market has taken a hit after President Trump’s re-election, with bitcoin falling from its all-time high of $126,000 to around $60,000. The crash is attributed to the sudden threat of imposing an extra 100% tariff on Chinese imports, which spooked traders and led to a massive sell-off.
This event was just the latest in a series of market downturns that have plagued the crypto industry throughout its short history. However, investors remain hopeful that the Trump administration will continue to support the sector with regulatory changes and legislation.
One significant development is the appointment of Paul Atkins as chair of the Securities and Exchange Commission, who has a background working with the crypto industry. Additionally, Congress passed a major piece of crypto legislation establishing rules for stablecoins, which is seen as a major victory for the industry.
Despite the current slump, some analysts believe that the sector still has significant tailwinds boosting its growth. The push to make crypto more mainstream continues, and investors are optimistic about the long-term prospects of the sector.
Source: https://www.npr.org/2026/02/07/nx-s1-5704279/trump-crypto-bitcoin-winter