Why is the crypto market down today? Trump’s tough remarks sparked a wave of selling, and Bitcoin is approaching the key $65,000 support level

Gate News, April 2, 2026: The cryptocurrency market weakened again as total market capitalization fell by about 2.6% to $2.37 trillion. This pullback is closely tied to strong remarks made by U.S. President Trump regarding the Iran situation, and risk-off sentiment quickly intensified.

Bitcoin’s price briefly dropped by more than 4%, hitting $66,250 and moving close to the key $65,000 support zone. Ethereum also weakened in tandem, approaching the $2,000 level. Meanwhile, major assets such as XRP, BNB, and Solana generally pulled back, and Dogecoin’s decline ranged between 2% and 6%, with the market showing a broad-based selloff.

The knock-on effects in the derivatives market further amplified volatility. Within the past 24 hours, total liquidation across the market exceeded $420 million. Long liquidations accounted for more than half. Bitcoin and Ethereum became the main sources of major liquidations, as selling pressure was released rapidly, accelerating price declines.

Sentiment indicators also turned weaker. The Crypto Fear and Greed Index fell to 27, suggesting a clear reduction in market risk appetite. Funds are more inclined to wait and see in the short term, or even pull back, as they await further clarity on the situation.

On the macro front, Trump said that in the next 2 to 3 weeks, the U.S. may take stronger military action against Iran, and he did not rule out strikes on energy infrastructure. The statement pushed crude oil prices above $100 per barrel and reinforced inflation expectations. As a result, market expectations for Federal Reserve rate cuts cooled, with some participants even starting to price in a longer period of higher interest rates.

Under dual pressure from high rates and geopolitical risk, risk assets—including Bitcoin—are clearly under strain. In the short term, market performance will still revolve around developments in the Middle East and changes in macro liquidity. Whether key support levels can hold will be an important basis for judging direction in the next phase.