‘Black Monday’ Takes Over As Global Market Cap Sinks To $2.4tn

The crypto market continues to suffer a brutal wave of sell-offs in the wake of last week’s ‘Liberation Day’ tariffs set by US President Donald Trump.

As global governments continue to figure out measures to counteract the tariffs, Bitcoin (BTC) fell as low as $74,420 on 7 April with the total crypto market capitalization plunging by 8% in the past 24 hours. Traders and investors are now grappling with the sharp downturn that has wiped out billions, marking what many are calling a ‘Black Monday’ for crypto.

This widespread correction saw every token in the top 10 register significant losses as they buckled under intensified sell pressure and weakening momentum indicators.

Bitcoin slips to $74K as momentum breaks down

Bitcoin dropped to $74,420 during today’s trading session before recovering marginally to $76,994 at the time of writing. The price finished at around $78,370 in the previous trading session, marking a 6.14% drop.

The drop as of this writing represents a daily decline of nearly 1.8%. Trading volume remained moderate, indicating that the sell-off was steady rather than panic-driven.

Technical indicators suggest further caution. The daily Relative Strength Index [RSI] has dropped to 34.26, close to oversold territory. This bearish divergence implies that selling momentum could continue unless BTC finds a strong support rebound in the short term.

If Bitcoin breaches the $74,000 level again, the next psychological support may lie near $70,000, a zone not tested since early February.

Ethereum plummets amid ‘Black Monday’ sentiment

Ethereum [ETH] took a steeper hit, losing over 5.4% in 24 hours to trade at $1,494. At its lowest point during the day, ETH dropped to $1,411, a level not seen in weeks. RSI was at 25.60, deep into oversold territory, with its moving average lagging at 37.39.

The Moving Average Convergence Divergence (MACD) also flashed warning signals, showing a widening gap between the MACD line (-106.96) and the signal line (-128.86), indicating strengthening bearish momentum. With volume sitting at around 480,000, the sell pressure has clearly intensified.

Unless Ethereum can hold above the $1,450 mark, a revisit to the sub-$1,400 range appears increasingly likely.

Altcoins deep in the red as top 10 tokens sink

According to data from CoinMarketCap, the downturn was not limited to Bitcoin and Ethereum. Top altcoins have suffered heavy losses, with Solana down nearly 16%, Cardano down 15%, XRP falling by nearly the same margin, and BNB down over 8%.

Tron and Dogecoin also posted losses, sliding approximately 6% and 16%, respectively.

The total crypto market cap has now fallen to $2.43trn from well over $2.6trn last week. Trading volume surged to $172.86bn, reflecting a rush to exit positions as sell-offs deepened across exchanges.

The 30-day chart shows the decline breaking below a previously stable range, confirming that the market structure has shifted from consolidation to capitulation.

Jim Cramer’s warning and Trump’s tariffs spook markets

Macro sentiment has played a central role in amplifying the correction. CNBC host Jim Cramer, known for his contrarian influence, made a stark forecast last week, warning that the stock market would see a significant decline on Monday, reminiscent of the 1987 crash.

While the prediction was for the stock market, the crypto market reacted first, and the market’s downward reaction may, ironically, reinforce his track record of signaling tops, even if unintentionally.

Cramer’s prediction was based on the geopolitical risks that have flared up after President Trump reintroduced sweeping global tariffs targeting several nations across Asia and Europe.

The tariffs, which range from high-tech imports to raw materials, have raised fears of renewed trade wars and inflationary ripple effects. Traders responded by offloading risk-on assets, and crypto appears to have borne the brunt of that sentiment shift.

The added uncertainty surrounding international capital flows and potential restrictions on US-based crypto investments has caused market participants to retreat to the sidelines. This combination of media pessimism and macro aggression has created a perfect storm for risk-off behavior.

The pullback, which coincides with renewed geopolitical tensions and bearish macro commentary, could extend further if confidence does not return quickly. As it stands, the market is firmly in risk-aversion mode, and patience may be the most valuable asset for now.