### Crypto Market Takes a Hit as Bitcoin Dips to $108K Following Tariff Threats

In the wake of U.S. President Donald Trump's announcement late Friday about potential tariffs on European Union imports and a levy on Apple iPhones, the crypto market endured a significant slump. This turbulence resulted in bullish crypto positions losing over $500 million.

The tariffs, which could include a 50% charge on all EU imports and a 25% levy on imported Apple iPhones, generated anxiety across financial markets, including the cryptocurrency sector. Bitcoin's value, which had been hovering above $111,000, quickly plunged to around $108,600. This sharp decrease caused broad market instability, with other major cryptocurrencies such as Ethereum (ETH), Solana (SOL), XRP, and Dogecoin (DOGE) experiencing substantial losses.

Bitcoin futures alone faced roughly $181 million in liquidations, while Ether futures accounted for nearly $142 million. The altcoin market wasn't spared either, as it collectively witnessed over $100 million in liquidations. Notably, the largest recorded single liquidation was a $9.53 million BTC-USDT swap on the OKX exchange, underscoring the market's severe volatility.

Liquidations, which happen when an exchange forcibly closes a trader's leveraged position because of insufficient margin, were prominent throughout the day. Large-scale liquidations often reflect market extremes, potentially signaling a significant price turnaround due to overreactions by traders.

The market downturn arrived as Bitcoin was gaining traction from ETF inflows and heightened institutional interest, leading to an expectation of a calm trading period over the weekend. However, renewed fears of a trade war introduced considerable volatility back into the equation.

With the macroeconomic climate now on unstable ground due to these tariff threats, traders are expected to proceed with caution as the new week approaches.