- Bitcoin gained 2.84% on Wednesday to reach $88,296 before pulling back.
- Donald Trump imposed a 25% tariff on car imports to the US.
- Lower-cap cryptos surged following Trump’s newly imposed tariff.
The cryptocurrency market showed pockets of volatility over the last 24 hours, even as Bitcoin (BTC) remained stuck in a relatively tight trading range. The largest crypto by market cap gained just 2.84% on Wednesday, briefly touching $88,296 before settling back to close the US trading session around $86,913.
Market Backdrop: Trump Announces New US Auto Tariffs
Bitcoin’s minor daily fluctuation occurred around the time Donald Trump announced his administration had imposed new 25% auto tariffs on car and car part imports into the US, scheduled to take effect starting April 2nd.
Charges on imported vehicles are set to begin April 3rd, with parts tariffs following later.
While Trump stated the goal is to boost the US auto industry, some analysts expressed concerns about potential negative impacts, including production slowdowns, consumer price increases, and strained international relations. Notably, BTC price showed very little of any direct reaction to this specific policy announcement.
Related: Trump’s Tariff Gambit: Will “Liberation Day” for US Trigger Gold Surge Bitcoin Rebound?
Small-Cap Altcoins Buck the Trend with Sharp Gains
Despite Bitcoin’s lack of notable movement following President Trump’s latest policy change, small-cap altcoins recorded significant price movements.
Take for instance, ZETA, ORCA, and SAFE that gained over 10% in the past 24 hours, while SUI surged 6% ahead of the Walrus protocol mainnet launch .
Bitcoin Dominance Stalls, Offers Clues in Sideways Market
A broader market view currently offers limited directional clarity for investors as Q2 2025 approaches. Bitcoin’s dominance (its market share relative to the total crypto market) stood at 61.64% at press time. This metric has remained largely range-bound between 60% and 62% since February, according to TradingView data.
Related: Bitcoin Eyes $90K as Metaplanet Buys More Tariff Concerns Ease– BTC Price Analysis
This lack of a decisive trend in BTC dominance leaves many traders uncertain about the market’s next major direction – whether capital will flow back into Bitcoin or further into altcoins.
In the meantime, small-cap tokens dominated the crypto market volatility over the past 48 hours, with AGiXT gaining 85.3%. DOGE represents one of the most famous tokens among the top low-cap gainers after posting a 24.3% profit during the period under review.
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