Crypto markets and US stock markets experienced sharp declines following the announcement of reciprocal tariffs by former President Trump on several countries. The S&P 500 saw a 4.2% drop at market open, its largest single-day decline since June 2020. Meanwhile, the Dow Jones Industrial Average fell over 3%, and the Nasdaq Composite dropped more than 5%. This resulted in a staggering $1.6 trillion wiped out from US stock markets at the opening bell. Bitcoin, too, suffered an 8% drop, but bulls held onto support at $80,000. The market instability stems from uncertainties surrounding these tariffs, fueling investor concerns about a potential recession. Market experts remain hesitant about a quick rebound in the short term. Data from CoinGecko suggests a total crypto market decline of 6.8% over the past 24 hours. Crypto liquidations have reached $573 million according to CoinGlass, with significant losses observed on Binance, including a large ETH/USDT position worth $11.97 million being closed out. Bitcoin’s open interest dropped below $50 billion, potentially reducing market leverage. Joao Wedson, CEO of Alphractal, warns of the possibility of Bitcoin dropping to $64K-$65K if it breaks this level with high trading volume.