Bitcoin dropped over 5 per cent to under $65,000 on Monday following President United States Donald Trump’s announcement of plans to raise global tariffs to 15 per cent.

The decline contrasted with gains in Asian equities during early trading, highlighting crypto’s decoupling from regional stock markets amid renewed tariff concerns.

Bitcoin has experienced a steep sell-off since surpassing $125,000 in October last year, with losses continuing into the new year.

The world’s largest cryptocurrency is down 26 per cent year-to-date and has dropped more than 47 per cent from its October peak, according to CNBC.

The head of research at 10x Research, Markus Thielen, said bitcoin’s recent fall reflects weak liquidity and low market conviction rather than any single news event.

He added that the movement is typical of a bear-market phase, with low trading volumes and uncertainty around the U.S. midterm elections, and expects prices could drop toward $50,000 before finding a more stable bottom.