Asian cryptocurrency stocks took a beating on Feb. 3 as Bitcoin fell as far as $91,163, its lowest level in over three weeks, while altcoins led a broad market sell-off.
Japan’s Metaplanet, often likened to MicroStrategy for its Bitcoin (BTC) treasury policy, closed the trading day down 9.44% on the Tokyo Stock Exchange. SBI Holdings, one of Japan’s biggest crypto and blockchain technology investors, sank 3.60%.
Some of Hong Kong’s best-known publicly traded crypto firms also took hits. OSL Group, operator of the city’s first licensed crypto exchange, bled 2.69%, while Boyaa, the largest publicly-traded corporate Bitcoin holder in Asia, lost 4.64%.
Metaplanet was among crypto’s biggest losers in the stock market. Source: Google Finance
“Their pronounced declines are linked to [the tariffs], whether you see it as the impact of a trade war on the general stock market, or the impact from crypto downturn. You have an amplification as investors get fearful on either front,” Justin d’Anethan, head of sales at token launch advisory firm Liquifi, told Cointelegraph.
Related: Metaplanet plans to raise over $700M to buy Bitcoin
Crypto stocks took a deeper hit than broader indexes. Japan’s Nikkei 225 dropped 2.66%, while Hong Kong’s Hang Seng barely budged, down just 0.04%.
Asian markets opened for the first time since US President Donald Trump slapped 25% tariffs on imports from Mexico and Canada and 10% on China. Both North American neighbors vowed retaliatory tariffs, while Beijing said it would take its case to the World Trade Organization.
The carnage isn’t expected to stop in Asia. US futures tied to three major stock indexes are flashing red, signaling a brutal trading week ahead.
“While this initially doesn’t look crypto-related, tariffs hint at a potential trade war, leading to a broad sell-off in risk assets, which then include Bitcoin, Ether (ETH) and all other cryptocurrencies,” d’Anethan said.
Related: Ethereum leads crypto’s $2.24B liquidation amid tariff wars
The crypto market remains in its Lunar New Year trading window, which digital asset firm Matrixport defines as the 10 days before and after the holiday. Historically, this has been one of crypto’s most bullish seasonal trends, with an 83% success rate.
Still, escalating trade war fears now threaten to snap Bitcoin’s 10-year Lunar New Year winning streak.
Magazine: Korean exchange users surge 450%, Metaplanet buying 21K Bitcoin: Asia Express