Crypto Bleeds As Trump-Imposed Import Tariffs to Start Tuesday

The price of Bitcoin nosedived after President Donald Trump’s administration signed an executive order imposing new steep tariffs on all imported goods from China

The price of Bitcoin took a nosedive on Monday after the Trump administration signed an executive order that will impose new tariffs on all imported goods from China, Mexico, and Canada. The move, which was announced late Friday, will see duties set at 25% on all imports from Canada and Mexico and 10% on goods from China.

The order, which was signed by President Donald Trump, comes amid a push by the administration to crack down on the flow of illegal drugs into the U.S. The tariffs will remain in place until Trump is satisfied that the named nations have halted the flow of illegal drugs into the U.S., according to a senior White House official who spoke to the Wall Street Journal.

Bitcoin was trading down 4.4% on the day at a current price of $97,754, according to data from CoinGecko. The world’s top cryptocurrency by market cap had erased some losses earlier this week after Chinese AI startup DeepSeek unnerved investors with a report that suggested Bitcoin’s recent rally was being fueled by illicit activity.

On Thursday, the price of Bitcoin came within 3.1% of its lifetime high of $108,786, which was set ahead of Trump’s inauguration on Jan. 20. The crypto’s price had fallen as low as $89,000 earlier this week, however, as news of DeepSeek’s report and Trump’s tariffs drove investors to sell off their crypto holdings.

Following the announcement of the tariffs, Mexico’s President Claudia Sheinbaum noted in an X post that she has instructed the Secretary of Economy to “implement plan B,” which includes “tariff and non-tariff measures in defense of Mexico’s interests.”

Canada’s Prime Minister Justin Trudeau said in an address to Canadians on Saturday night that the nation would impose a 25% tariff on $106.5 billion worth of US goods. Trudeau also announced that Canada was also exploring non-tariff responses affecting the energy sectors.

China’s Ministry of Commerce said it will be lodging a complaint with the World Trade Organization (WTO) and “take corresponding countermeasures.”

Bitcoin dove under the psychologically significant $100,000 threshold for the first time since Jan. 27 on the heels of the retaliations. The crypto’s price had fallen as low as $96,000 earlier Monday, however, before recovering slightly to trade above $97,000 at the time of writing.

Other major cryptocurrencies fell even harder than Bitcoin on the day, with Ether (CRYPTO: ETH) tumbling over 9.1% to $2,962.67, while Ripple-promoted XRP (CRYPTO: XRP) was down nearly 13.3% to $2.59. Solana’s SOL (CRYPTO: SOL) fell about 10.6% to $201.99, with Dogecoin (CRYPTO: DOGE) dipping over 15% to $0.2718.