Bitcoin’s price has dropped dramatically to $102,000 after U.S. President Donald Trump proclaimed a 100% tariff on Chinese imports, igniting worries about a possible market collapse.

Following this announcement, Bitcoin’s trading on the Binance futures market saw a steep decline, marking its lowest point since June, when it dipped below $100,000. At the same time, the spot price on Coinbase fell to $107,000, contributing to a wave of liquidations in the crypto sector.

“It has just been learned that China has taken an extraordinarily aggressive position on Trade, sending an extremely hostile letter to the World, stating that they will impose large-scale Export Controls on virtually every product they make, effective November 1, 2025.”
— Donald Trump on Truth Social

The total liquidation in the cryptocurrency market reached $9.40 billion over the past 24 hours, with a significant portion being leveraged long positions. Other cryptocurrencies also experienced losses, with Ethereum dropping to $3,500 and SOL under $140.

This new tariff policy, particularly affecting rare earth elements, threatens to disrupt the semiconductor supply chain, essential for various technological industries. As the global semiconductor market faces tightening, dependencies on foreign manufacturing are also being scrutinized.

With a total crypto market cap currently at $3.64 trillion, investors are anxiously watching for further developments in this ongoing story.