As President Trump signed a landmark decision lifting tariffs on essential food imports, the global markets witnessed significant turbulence. Bitcoin (BTC) 
$91,967 saw a sharp decline, dropping to $91,292, while Ethereum (ETH) 
$3,139 fell below the critical $3,000 mark after 126 trading days. Several cryptocurrencies experienced losses exceeding 5%. The developments raise crucial questions: What should we expect in the crypto markets? What are the targets for Bitcoin and Ethereum? We swiftly analyze all these elements.
Trump’s Remarks
During a period of heightened political tension, Trump’s soft-spoken demeanor was attributed to vociferous trade debates. Challenges loom as he navigates approaching high court tariff rulings amidst the 2026 mid-term elections, while facing relentless scrutiny from Democrats concerning Epstein. Notably, Trump expressed optimism in capturing substantial market share of chip production, criticizing previous concessions to Taiwan and highlighting a re-shoring of manufacturing spurred by tariffs.
“Within a year, a significant portion of chip production will return to the US. Although we lost the market share to Taiwan, American manufacturers are reestablishing their presence domestically due to tariffs.”
“We anticipate dividend payouts from tariffs by mid to late 2026. Moreover, selling F35 jets to Saudi Arabia is on the agenda.”
“If necessary, I am prepared to confront Mexico to halt drug trafficking. I am proud to take action against drug factories, though it’s not a current commitment. Mexico comprehends my stance, and I am displeased with their performance.”
The easing of food tariffs is a favorable move toward alleviating inflationary pressures. However, the delay in dividend distributions might not bode well for monetary expansion narratives. Ultimately, attention will revert to the December interest rate decision and the high courts’ rulings. Military actions toward Mexico and Venezuela could further disrupt the crypto landscape.
Cryptocurrency Decline and Altcoins
Numerous factors including on-chain analysis, macroeconomic dynamics, and geopolitical developments contribute to the present cryptocurrency decline. The drop is evidently resultant from a complex combination of causes, signaling a critical juncture for market direction. Prominent analyst Capo, noting Bitcoin’s approach to breaching $91,000, remarked on the extended nature of the current bearish wave, suggesting potential for a local bottom and a possible rebound in altcoins, particularly AI tokens.
“This extended bearish wave indicates latent upside liquidity. We might witness a local bottom for a few days. Altcoins, notably AI tokens, may recover more robustly than BTC. Despite my broader bearish outlook, I have begun reaping profits from short positions at this juncture.”
Even Capo acknowledges potential indicators for a short-term recovery. Meanwhile, Wall Street also faced declines, with the S&P 500 down 1.39%, the tech-heavy Nasdaq Composite dropping 1.45%, and the VIX fear index spiking by 15%. These movements echo the crypto market‘s sentiment, reminiscent of April’s tariff-induced downturns. As the Federal Reserve’s Waller suggests a 25bp rate cut in December, existing dovish stances may not significantly impact market expectations.
“I endorse a quarter-point rate cut in the December 9-10 Fed meeting. This provides assurance amidst labor market vulnerabilities. I remain concerned about restrictive monetary policies burdening the economy. The core U.S. inflation approaches the 2% target, with stable inflation expectations.”
“Tariffs are a one-off price shock. I foresee no accelerants to inflation, even as Q2 2025 GDP growth slows. No forthcoming data, including the imminent jobs report, is likely to sway me from supporting a rate cut.”
BTC, ETH, SOL, ADA Analysis
The $94,400 zone was crucial for Bitcoin, but losing this key level halted April’s rise completely. Below $90,200, risks of further drops to $88,000 and $82,000 loom large. Losing $74,000 could definitively signal the bull market’s finale.
Due to rapid declines over the past four weeks, a corrective rally towards $106,000 should emerge. Ethereum lost its hard-won gains of 126 days but faces pressure from news-driven volatility. A breach of $2,920 risks fallback to $2,759 and even $2,360 levels.
For SOL Coin, $112 marked a vital juncture. Should bears succeed, prices could extend to $105-88 range. Conversely, a recovery might aim for $143.
ADA Coin grapples with harsher conditions than many cryptocurrencies, clinging to the October 10 lows as a last motivation. Continued closures below $0.53 might drive prices toward $0.434. The concluding downside stop could be $0.33.
In a potential recovery scenario, reclaiming $0.53 might set sights on $0.72.
