Bitcoin fell more than 2.7% on Friday after US President Donald Trump recommended a 50% tariff on European Union goods.

As the global stocks dipped amid Trump’s tariffs threat, Bitcoin (BTC) price plunged below $110k to hit lows of $107,385.

However, with the Dow Jones Industrial Average also seeing a slight recovery from a dip of more than 500 points, BTC price quickly recovered to trade above $109,600.

Over $300 million liquidated

The 24-hours losses stood around 1.7% at the time of writing, with the daily trading volume of BTC down 30% to $65.5 billion.

Bitcoin’s market cap hovered around $2.17 trillion.

Meanwhile, bullish traders caught offside by the sudden price swing experienced staggering liquidations.

Per Coinglass data, the total 24-hour liquidation rose to over $550 million, with long positions accounting for over $395 million.

Of these recent longs, about $309 million happened in the hours after President Trump’s post on Truth Social.

Shorts accounted for about $156 million in liquidations over the past 24 hours, with about $36 million in the last four hours.

What did Trump say?

On Friday, US President Donald Trump took to his Truth Social account to announce his disappointment in how trade talks with the European Union have progressed – or not – so far.

According to him, the EU “has been very difficult to deal with” and that discussions between the US and the bloc were not going anywhere.

Trump then said he recommends a “straight 50% tariff” on goods from the EU, starting on June 1, 2025.

“The European Union, which was formed for the primary purpose of taking advantage of the United States on TRADE, has been very difficult to deal with. Their powerful Trade Barriers, VAT Taxes, ridiculous Corporate Penalties, Non-Monetary Trade Barriers, Monetary Manipulations, unfair and unjustified lawsuits against American companies, and more, have led to a Trade Deficit with the U.S. of more than $250,000,000 a year, a number which is totally unacceptable,” Trump noted.

Bitcoin price reacts, dips below $110k

Stocks and cryptocurrencies fell following this announcement. Bitcoin, which had reached a new all-time high above $111k, pared some of these gains.

However, despite the dip, BTC is back above $109k and looking to reclaim $110k.

Anthony Pompliano says investors are going to quickly buy the dip, as happened in recent weeks amid tariff-related sell-offs.

Every time the market dumps because of tariff threats, retail investors are going to buy the dip.

Law of the universe at this point.

— Anthony Pompliano (@APompliano) May 23, 2025

BTC traded at around $109,692 at the time of writing.

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BTC slips to $109k after Trump threatens 50% tariffs on EU

Source: https://coinjournal.net/news/btc-slips-to-109k-after-trump-threatens-50-tariffs-on-the-eu/