As President Trump’s decision to impose high tariffs on multiple countries and intergovernmental organisations, the global markets are bleeding heavily. Will the market crash amid growing uncertainties with Trump’s hot-headed measures?
By Vishal Dixit
Edited by Julia Sakovich
Updated
3 mins read
In the recent market crash, Ethereum ETH $1 546 24h volatility: 4.4% Market cap: $186.52 B Vol. 24h: $20.61 B takes the biggest hit with a 25% drop in the past 24 hours. The liquidations in Ethereum stand at $612.99 billion, out of the total market losing $2.27 billion.
As one of the top losers, Ethereum recorded a 24-hour low at nearly $2,100. Currently, ETH is trading at $2,582, recording a significant growth since the 24-hour low.
Despite the recent reversal, big names like Donald Trump‘s World Liberty Financial witnessed a massive fluctuation in its holding. As the broader market volatility grows, will the unrealized losses of WLF continue to rise?
Currently, Donald Trump’s World Liberty Financial holds 70.76K ETH tokens worth $183.52 million. The second biggest holding comes with 646.71 WBTC WBTC $80 825 24h volatility: 1.3% Market cap: $10.42 B Vol. 24h: $407.81 M worth $67.98 million.
Furthermore, one of the biggest losses for Trump’s WLF comes from Ethena. The firm holds 5.779 million ENA tokens ENA $0.31 24h volatility: 1.7% Market cap: $1.72 B Vol. 24h: $212.65 M worth $3.39 million.
Amid the massive fluctuations, Donald Trump’s WLF recorded a total loss of $75.11 million. However, $69.846 million remains in unrealized losses, while the realized P&L remains at a negative of $5.264 million.
With Trump’s WLF losing massive chunks of money, in a spot-on chain, Divi takes a quantitative approach. In a recent tweet by SpotOnChain, the data analytics firm highlighted a massive loss of $51.7 million in Trump’s WLF fund.
Out of the $242.77 million worth of crypto investments between January 19 and 31, the firm lost 21% of its value due to Donald Trump’s recent hike in tariffs. While justifying his decision to increase tariffs, Donald Trump stated that the pain from the tariffs would be worth the price.
As the biggest investment of Donald Trump’s World Liberty Financial, Ethereum is standing on thin ice. In the daily chart, the downfall in Ethereum has given a bearish breakout of a falling-wedge pattern and has breached the 23.6% Fibonacci level at $2,640.
However, the long-tail formation from the 24-hour low at $2,150 reflects the underlying support. However, a 24-hour closing under the 23.6% Fibonacci level will increase the chances of Ethereum dropping to nearly $2,000 psychological mark.
Along with Ethereum, Ethena is now down at $0.588, with two consecutive bearish days, recording a drop of nearly 26%. This is to hold its ground at the $0.50 psychological mark, with a lower price rejection.
Ethena hints at a potential bounce back to retest the 200-day EMA line at $0.73.
In a nutshell, Ethereum’s sharp 25% decline, coupled with significant liquidations of $612.99 million, has put immense pressure on both the crypto market and Donald Trump’s World Liberty Financial (WLF), which faces $75.11 million in total losses. Despite a brief rebound to $2,582, ETH remains vulnerable below the 23.6% Fibonacci level.
A daily close under $2,640 could trigger a drop toward the $2,000 psychological mark. As volatility surges, WLF’s unrealized losses may continue to rise, heavily influenced by Trump’s recent tariff decisions and broader market instability.
Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.
Vishal, a Bachelor of Science graduate, began his journey in the crypto space during the 2021 bull run and has since navigated the subsequent market winter. With a strong technical background, he is dedicated to delivering insightful articles rich in technical details, empowering readers to make well-informed decisions.
