Dogecoin Doge and Cardanos Ada Ada led the fall on Friday when crypto traders digest mixed macro -data and recession related to an escalating feud between President Donald Trump and Tech Titan Elon Musk.
DOGE tumbled almost 7% in 24 hours, while ADA slid 6.5% to reflect a risk-off shift among crypto dealers.
Bitcoin BTC sprang over $ 102,000 in Asian morning hours after falling to nearly $ 101,000 on Thursday night, with Ether ETH, XRP XRP, BNB Chain’s BNB BNB and Solana’s Sun Sol down between 2%-5%.
The spat between musk and Trump rattled confidence, with Musk warning that the United States is likely to be heading for a technical recession this year – a concern that weighs heavily on speculative assets.
“The violations between Elon Musk and President Trump expose divorce that could prevent plans to reform the US economy, and that is why Cryptocurrencies as a whole fell overnight,” Jeff Mei, COO of BTSE, said in a telegram announcement to Coindesk.
“However, we are still positive about the long -term viability of crypto markets, and given the success of Circle’s IPO yesterday, it is clear that there are still many institutional investors who feel it the same way,” Mei added.
Some analysts pointed to the growing risk that political attack could be wasted over to the markets.
“While the recent US macroeconomic reports affected sales, the negative prospects have mostly been driven by the escalating tensions between President Trump and Elon Musk,” Nick Ruck, director of LVRG Research, told Coindesk.
“Investors fear that their feud could be wasted in the markets. We remain optimistic in the long term as institutions continue to build within the larger crypto ecosystem,” Ruck added.
Dealers remain cautious as the market is waiting for clarity in the debt ceiling debate and the potential impact of Trump’s proposed “a great beautiful action” on fiscal policy.
