The cryptocurrency market is experiencing significant downturns, largely fueled by the escalating feud between U.S. President Donald Trump and Tesla CEO Elon Musk. As of late Thursday, Bitcoin traded at approximately $100,500, down over 4%, putting it at risk of falling into the five-digit range for the first time in a month. The CoinDesk 20 index, which monitors the top 20 cryptocurrencies by market cap, dropped by more than 5% during the same timeframe. Notably, cryptocurrencies such as Solana (SOL) and SUI faced greater challenges, each losing upwards of 7%. Furthermore, Coinbase (COIN) and MicroStrategy (MSTR) reported losses of 4.6% and 2.4% respectively. Various cryptocurrency mining companies, including Marathon Digital Holdings (MARA), Riot Platforms (RIOT), and Core Scientific (CORZ), also saw their values decline by around 5%. The discord between Musk and Trump stems from remarks about the implications of Trump's proposed "Big, Beautiful Bill" on national debt. This disagreement escalated on Thursday when Trump labeled Musk as "crazy" and hinted at the potential termination of government contracts with Musk-led ventures. Musk retaliated by suggesting Trump was implicated in the Jeffrey Epstein scandal, announced the decommissioning of SpaceX's Dragon aircraft, and supported a social media post favoring Trump's impeachment and replacement by Vice President J.D. Vance. Amidst this backdrop, Tesla's stock plunged over 14% on Thursday. In contrast, excitement surrounding the IPO of Circle (CRCL), a stablecoin issuer, slightly influenced the overall market. Circle debuted at $31 and briefly surged over $100 before closing at $83, evoking memories of the market peaks surrounding Coinbase's 2021 IPO.
Bitcoin Approaches $100K as Musk-Trump Feud Exacerbates Crypto Market Losses
The ongoing conflict between Elon Musk and Donald Trump is impacting Bitcoin, which is currently hovering around $100,500. Market sentiment remains bearish as other cryptocurrencies also face significant losses.
Jamie Bennett
Crypto Analyst
5 min read
49,958
Analysis
Market Sentiment
Bearish
Neutral
Bullish
News Impact
9/10
Credibility: 9/10
Trading Recommendation
BTC
BTC
SELL
Entry Price
$0
Confidence
30%
Stop Loss
$95000
Take Profit
$100000 - $105000
Market is bearish due to negative news. Open positions avoided.
