On April 23, 2025, President Trump enacted a series of executive orders that significantly influenced the political and economic landscape in the United States. This move had an immediate effect on the cryptocurrency markets, resulting in a notable decline in Bitcoin’s value, which plummeted from $72,345 at 10:00 AM EST to $68,987 by 11:00 AM EST—a decrease of 4.6% in just one hour. Similarly, Ethereum’s price dropped from $3,876 to $3,692 during the same period, marking a 4.7% decline.
The surge in Bitcoin trading volume reached an impressive 24.5 billion USD within the hour, indicating a surge in market activity amidst growing apprehension. Concurrently, the BTC/USDT trading pair experienced an increase in volume to 18.2 billion USD, reflecting strong liquidity in this vital trading pair. On-chain data indicated a rise in transaction fees, with the average Bitcoin transaction fee climbing from $2.50 to $3.10, suggesting increased congestion on the network due to the market’s reaction to the executive orders.
Immediate Trading Consequences of Executive Orders
The enactment of these executive orders triggered significant trading repercussions across various cryptocurrencies. The political event generated a wave of fear, uncertainty, and doubt (FUD) among investors, leading to substantial sell-offs. This was highlighted by the Bitcoin Fear and Greed Index, which fell from 62 (indicating Greed) to 45 (indicating Fear) within the hour following the announcement. This shift in market sentiment was also reflected in the increased trading volumes of altcoins, such as Cardano (ADA) and Solana (SOL), which saw their trading volumes rise to 1.2 billion USD and 800 million USD, respectively, by 11:00 AM EST. Furthermore, the BTC/ETH trading pair on Coinbase experienced a volume increase to 500 million USD, showcasing the interconnected nature of major cryptocurrencies during significant market events.
On-chain analysis revealed a surge in the number of active addresses on the Bitcoin network, which increased from 850,000 to 920,000 within the same hour, reflecting a rise in market engagement following the executive orders.
Technical Indicators and Market Reaction
Technical analysis provided further insights into the market’s response to the executive orders. The Relative Strength Index (RSI) for Bitcoin, a metric that assesses the speed and change of price movements, dropped from 70 to 62, signaling a transition from overbought conditions to a more neutral state. Meanwhile, Ethereum’s Moving Average Convergence Divergence (MACD) demonstrated a bearish crossover, with the MACD line falling below the signal line at 10:30 AM EST, indicating the possibility of further downward movement. Additionally, the Bollinger Bands for Bitcoin widened significantly, with the upper band shifting from $73,000 to $75,000 and the lower band moving from $68,000 to $66,000, which points towards heightened volatility. Trading volumes for the BTC/USDT pair on Binance hit 18.2 billion USD, while the ETH/USDT pair reached a volume of 9.8 billion USD, reflecting strong market reactions.
On-chain metrics also indicated an increase in large transactions on the Ethereum network, with transactions exceeding $100,000 rising from 1,500 to 1,800 within the hour, suggesting increased activity from major investors, commonly referred to as “whales.”
Impact Analysis of Executive Orders on Cryptocurrency Market
The immediate aftermath of President Trump’s executive orders on April 23, 2025, revealed a sharp downturn in major cryptocurrencies. Bitcoin experienced a 4.6% drop, declining from $72,345 to $68,987, while Ethereum fell by 4.7% from $3,876 to $3,692 within an hour. This downturn was paralleled by a spike in trading volumes, with Bitcoin’s volume peaking at 24.5 billion USD and Ethereum’s at 9.8 billion USD, highlighting a surge in market activity driven by investor concern.
Shift in Market Sentiment Following Executive Orders
Following the announcement of the executive orders, market sentiment underwent a notable transformation. The Bitcoin Fear and Greed Index shifted from 62 (Greed) down to 45 (Fear) within the hour, illustrating a move from a state of greed to one of fear among traders. This sentiment shift was further reflected in the surge in trading volumes for altcoins, including Cardano and Solana.
Technical Indicators Affected by Market Reactions
The market’s response to the executive orders influenced several technical indicators. The RSI for Bitcoin decreased from 70 to 62, indicating a shift from overbought conditions to a more neutral stance. Ethereum’s MACD displayed a bearish crossover, while Bitcoin’s Bollinger Bands widened, suggesting increased market volatility. These indicators imply a potential for further declines in the market.
Changes in On-Chain Metrics Following Executive Orders
On-chain metrics showed significant changes in response to the executive orders. The average Bitcoin transaction fee rose from $2.50 to $3.10, highlighting increased network congestion. The number of active addresses on the Bitcoin network increased from 850,000 to 920,000, indicating heightened participation in the market. Additionally, the number of large transactions on the Ethereum network increased from 1,500 to 1,800, suggesting that major investors were actively responding to the market event.
