Key Points:

• Investors are concerned about the impact of President Trump’s tariffs, which have led to U.S. stock index futures dropping about 5% as trading resumes after the weekend.
• Bitcoin has decreased by 5% to just below $79,000, with significant declines in other major cryptocurrencies.
• Hedge fund billionaire Bill Ackman has advised the president to avoid proceeding with what he termed “economic nuclear war” and to instead call for a “time out” on decisions to be made on Monday.

Bitcoin began to gain traction despite the plunging stock markets, but it appears the bullish sentiment may have been premature.

With stock markets closed for the weekend, apprehensive investors turned to cryptocurrencies, and by late Sunday afternoon, bitcoin was trading above $79,000, down 5% from the previous day. As the stock market futures began trading, they reflected a downward trend: the Nasdaq 100 was down 5% and the S&P 500 dropped 4.5%, pushing bitcoin down to as low as $78,400.

Other cryptocurrencies fared worse; for instance, ether (ETH) fell 11% to $1,590 and solana (SOL) dropped 10% to $107.

The term “black Monday” is gaining traction, recalling the market crash of October 19, 1987, when the Dow Jones saw a significant loss in value. At that time, it was triggered by fears of a currency war led by then Treasury Secretary James Baker.

Ackman remarked, “If we launch economic nuclear war on every country in the world, businesses will halt, consumers will shut their wallets, and this could severely damage our global reputation for decades to come.” He noted that this Monday offers a chance for the President to halt the current actions and reconsider unfair tariffs.

As of now, the yield on the 10-year Treasury has dropped by 14 basis points from Friday’s close, now sitting at 3.85%.