Financial markets are in chaos, with Donald Trump attributing the crash to Kamala Harris and the Biden administration.
Over $2 trillion vanished from traditional markets within the first trading hour, and the crypto sector is experiencing extreme turbulence reminiscent of 2021.
Online brokerages like Charles Schwab, Fidelity, and Vanguard faced technical issues, impacting thousands of users. Bitcoin has dropped over 16%, and Ether has seen its sharpest decline since 2021.
Massive sell-offs have resulted in the liquidation of 305,759 traders, amounting to $1.22 billion, dragging Bitcoin below $50,000.
On Truth Social, Trump blamed the market collapse on Harris and Biden, claiming their inept leadership caused the crisis. He presented voters with a stark choice: return to “Trump prosperity” or face the “Kamala Crash” and a potential Great Depression in 2024, along with the threat of World War III.
As tensions rise in the Middle East, fears of a larger conflict are spreading on social media, with frequent advisories contributing to global market instability. Traders are grappling with an atmosphere of escalating uncertainty and rumors of war.
Coinbase CEO Brian Armstrong has spotlighted a significant acceleration in institutional crypto adoption, driven largely by the surging popularity of exchange-traded funds and increased use of Coinbase Prime among major corporations.
Jefferies chief market strategist David Zervos believes an upcoming power shift at the Federal Reserve could benefit U.S. equity markets.
Anchorage Digital, a federally chartered crypto custody bank, is urging its institutional clients to move away from major stablecoins like USDC, Agora USD (AUSD), and Usual USD (USD0), recommending instead a shift to the Global Dollar (USDG) — a stablecoin issued by Paxos and backed by a consortium that includes Anchorage itself.
Ethereum co-founder Vitalik Buterin has voiced concerns over the rise of zero-knowledge (ZK) digital identity projects, specifically warning that systems like World — formerly Worldcoin and backed by OpenAI’s Sam Altman — could undermine pseudonymity in the digital world.