I have been wondering, what's really going on in the market. Today, the Dow Jones Industrial Average plunged 1,800 points in the opening hour, it's the worst single-session drop since the COVID-19 panic of March 2020. The S&P 500 shed 5.2%, the Nasdaq entered bear-market territory with a 6.7% dive, and Europe’s STOXX 600 cratered 4.9%. In Asia, Tokyo’s Nikkei closed down 7.1%, while Hong Kong’s Hang Seng lost 5.8%. It's crazy isn't it? What about crypto market?
Bitcoin dropped 7% from 115,000 to 107,000, ETH dropped 12.42%, Sol dropped from 12.96% from $205 to $176. And here is one of the major reason why the market is bleeding. President Donal J. Trump officially announced 15% Tariff on European exports to the United States. This deal, finalized after intense negotiations at Trump's Turnberry golf resort in Scotland.
The problem with this is that, People are losing lots of money to the market sudden liquidation. When Trump speaks, market moves. But the critical question now is; Where is this market headed?
Are we on the cusp of a historic rally or just the opening of a prolonged, fear driven bear season?