Trump and Musk Feud Sends Crypto Market Tumbling; Bitcoin Dips Below $104,000
The ongoing public dispute between former U.S. President Donald Trump and billionaire entrepreneur Elon Musk has caused notable turbulence in the cryptocurrency market. As tensions escalate, Bitcoin—a leading cryptocurrency by market value—experienced a significant decline, falling below the $104,000 mark.
According to live data from international crypto exchange Binance on June 6, 2025, Bitcoin’s price dropped to approximately $103,710 following the heated feud between the two influential figures. This more than 1% decline in Bitcoin’s value was accompanied by a sharper drop in Ether, the world’s second-largest cryptocurrency by market capitalization, which shed over 4%, trading near $2,470. Other major cryptocurrencies such as Solana, Binance Coin (BNB), Cardano, and XRP also faced downward pressure, contributing to a roughly 2% decrease in the overall crypto market capitalization, now estimated at around $322 billion.
Market analysts attribute this sell-off to negative investor sentiment triggered by the high-profile clash of Trump and Musk. The discord has not only affected digital assets but also led to broader market sell-offs amid growing uncertainty.
The roots of the feud trace back to political and strategic decisions made since Trump assumed the U.S. presidency. Trump had previously entrusted Musk with key government responsibilities, but recent developments saw Musk stepping away from the administration, prompting a bitter rift between the two.
Despite the decline, Bitcoin still holds important support levels above $100,000. Should the price breach this psychological barrier, analysts warn it could fall further, potentially reaching as low as $97,000. Ether’s key technical levels include resistance around $2,650 and support near $2,392; a drop below support could see it slipping to approximately $2,340. Adding to the complexity, Trump’s social media company, Trump Media and Technology Group, recently announced plans to invest about $2.5 billion (approximately ₹21,416 crore) in Bitcoin. This move aligns with Trump’s earlier executive order aimed at establishing a strategic Bitcoin reserve in the United States. The order stipulated that no taxpayer funds would be used to acquire Bitcoin, emphasizing a private-sector-led approach to cryptocurrency investment.
The crypto market remains highly sensitive to such developments involving influential personalities, and investors continue to watch the market dynamics closely amid evolving geopolitical and personal conflicts that shape market sentiment.
Written by Akash Anand, Deputy News Editor at Gadgets 360
Updated June 6, 2025, 15:21 IST