U.S. markets wipe out $9.6t as Bitcoin shows some resilience

It’s been a tumultuous start to April, as global markets experienced significant downturns, with U.S. equities and cryptocurrencies reacting to escalating trade tensions.

The U.S. stock market has shed a staggering $9.6 trillion in value since President Donald Trump’s second-term inauguration in January. Notably, $5 trillion of that decline occurred over the past two days, marking the largest two-day loss on record.

The Nasdaq Composite index is on the verge of confirming a bear market, having fallen over 20% from its December 2024 peak of 20,173.89.

Also, JPMorgan Chase now estimates a 60% probability of a U.S. economic recession.

This sharp decline is largely attributed to investor concerns following Trump’s implementation of a sweeping 10% tariff on all U.S. imports, particularly affecting tech-heavy exporters like China, Taiwan, and Vietnam.

In retaliation, China announced a 34% tariff on U.S. goods, further exacerbating market anxieties.

Big tech hit hard

Major technology companies have borne the brunt of these developments. Apple’s shares have declined 12.5% due to heightened tariffs on Chinese imports, while Tesla has seen a 37% drop, amid political controversies and declining sales.

Other tech giants, including Alphabet, Microsoft, Meta, Amazon, and Nvidia, have also reported significant losses.

Crypto’s volatility

The crypto market has not been immune to these upheavals. Bitcoin ($BTC) dropped between 1% and 2% over the past 24 hours but has since rebounded and is now trading at $83,263. This dip coincided with China’s retaliatory tariffs and the broader market sell-off.

Despite the current downturn, some investors remain optimistic about Bitcoin’s prospects.

Both short-term and long-term holders have increased their $BTC positions since the start of April, signaling continued confidence in Bitcoin’s resilience amid traditional market instability.