The recent decline in cryptocurrency prices is closely linked to escalating trade tensions following President Trump's implementation of extensive tariffs on imports from China, the European Union, and Japan. These tariffs have intensified fears of a global recession, leading investors to move away from riskier assets, including cryptocurrencies. 

Bitcoin, for instance, fell below the significant $80,000 mark, dropping 5% to approximately $79,000. Altcoins like XRP and Ether experienced even steeper declines, with XRP falling 19% to $1.70 and Ether dropping to $1,462.

The market's reaction is further compounded by substantial liquidations of leveraged crypto positions, totaling about $1.2 billion within 24 hours. This wave of liquidations has amplified the downward pressure on cryptocurrency prices. 

Additionally, technical indicators, such as the emergence of a "death cross"—where the 50-day moving average falls below the 200-day moving average—suggest the potential for further declines. ​

In summary, the combination of aggressive tariff policies and the resulting economic uncertainty has significantly impacted the cryptocurrency market, leading to notable price drops and heightened volatility.