US President Donald Trump announced a 100% tariff on China, causing Bitcoin to plummet below $110,000. Trump’s move was in response to China’s export restrictions on rare earth minerals crucial for computer chips. The wider crypto market also took a hit, with Ether falling to $3,500 and SOL dropping below $140.

After Trump’s announcement, Bitcoin dropped to $102,000, hitting a 3-month low. Market data showed $9.40 billion in total crypto market liquidations in the past 24 hours, with leveraged longs accounting for $7.15 billion. The broader crypto market, including Ether and SOL, also suffered losses alongside Bitcoin.

China’s threat to restrict access to rare earth elements impacts semiconductor production globally. This move strains the hardware pipeline for AI, high-performance computing, and crypto mining. The US is also taking measures to reduce dependency on foreign manufacturing. The global crypto market capitalization stands at $3.64 trillion, with an 11.80% decrease in the last 24 hours.

Read more at Cointelegraph: Trump Announces 100% Tariffs on China, Bitcoin Melts Below $110,000