The stock market took a significant hit today as Apple Inc. saw a sharp decline of 3% in pre-market trading, equating to nearly $90 billion in market capitalization wiped out as of 8:00 AM EST on May 23, 2025. This dramatic drop was triggered by a statement from President-elect Donald Trump, who warned of imposing a 25% tariff on iPhone imports unless Apple shifts its manufacturing to the United States. This news, reported by Michael Burry Stock Tracker on social media at approximately 9:15 AM EST on the same day, sent shockwaves through the tech sector, raising concerns about cost increases and supply chain disruptions for one of the world’s largest companies. Apple, a key player in the Nasdaq index, often influences broader market sentiment, and this event is no exception. The ripple effects are already being felt across correlated markets, including cryptocurrencies, as risk-off sentiment begins to dominate. Investors are now closely monitoring how this geopolitical tension could impact tech stocks and their interconnectedness with digital assets like Bitcoin and Ethereum, especially given the historical correlation between Nasdaq movements and crypto price action. For crypto traders, this event signals potential volatility and opportunities to capitalize on cross-market dynamics, particularly as institutional money flows between traditional and digital assets shift in response to macroeconomic pressures.

From a trading perspective, Apple’s pre-market plunge at 8:00 AM EST on May 23, 2025, could have a direct bearing on cryptocurrency markets, especially tokens tied to tech innovation or decentralized finance. Historically, when major tech stocks like Apple experience significant declines, risk appetite in crypto markets tends to wane, often leading to sell-offs in high-beta assets like Bitcoin and Ethereum. For instance, Bitcoin’s price dipped by 1.2% to $92,500 as of 10:00 AM EST on May 23, 2025, while Ethereum saw a 1.5% drop to $3,200 within the same timeframe, according to data from CoinGecko. Trading volumes on major exchanges like Binance spiked by 8% for the BTC/USDT pair, reaching $1.2 billion in the hour following the news, reflecting heightened market activity. Crypto traders should watch for potential short-term bearish pressure on major coins, but this could also present buying opportunities if institutional investors pivot to crypto as a hedge against traditional market uncertainty. Additionally, crypto-related stocks and ETFs, such as those tied to Bitcoin mining companies like Riot Platforms, saw a 2% drop in pre-market trading by 9:30 AM EST, signaling a direct correlation between Apple’s woes and crypto-adjacent equities.

Diving into technical indicators, Bitcoin’s Relative Strength Index (RSI) dropped to 42 on the 4-hour chart as of 11:00 AM EST on May 23, 2025, indicating oversold conditions that could precede a rebound if sentiment shifts. Ethereum’s trading volume for the ETH/USDT pair surged to $850 million on Binance during the 10:00 AM EST hour, a 10% increase from the previous hour, suggesting panic selling but also potential accumulation by smart money. On-chain metrics from Glassnode show a 5% uptick in Bitcoin wallet addresses holding over 1 BTC as of 12:00 PM EST, hinting at institutional accumulation despite the risk-off environment. Meanwhile, the correlation coefficient between the Nasdaq 100 and Bitcoin remains high at 0.75 based on 30-day rolling data, underscoring the tight relationship between tech stock movements and crypto prices. Apple’s $90 billion market cap loss at 8:00 AM EST directly impacts the Nasdaq, which could further pressure crypto assets if the index continues to slide during regular trading hours. Institutional money flow data from Bloomberg Terminal indicates a $500 million outflow from tech ETFs into safer assets by 11:30 AM EST, with a small but notable $50 million inflow into Bitcoin ETFs, suggesting a mixed response among large investors.

This event also highlights the broader interplay between stock and crypto markets. Apple’s potential cost increases due to a 25% tariff could dampen consumer spending on tech products, indirectly affecting blockchain projects tied to consumer tech adoption. Crypto traders should monitor pairs like BTC/USD and ETH/USD for increased volatility throughout the trading day on May 23, 2025, especially around key US market opening times at 9:30 AM EST. The risk-off sentiment could also drive capital into stablecoins, with USDT trading volume on Kraken rising by 12% to $300 million by 11:00 AM EST. For those trading crypto-related stocks, the pre-market declines in companies like Riot Platforms and Marathon Digital, down 2.1% and 1.8% respectively by 9:30 AM EST, offer a window into how traditional market events cascade into digital asset ecosystems. Staying agile and leveraging cross-market analysis will be key to navigating this turbulence.

FAQ:
What caused Apple’s stock to drop on May 23, 2025?
Apple’s stock plummeted 3% in pre-market trading at 8:00 AM EST on May 23, 2025, due to a warning from President-elect Donald Trump about a potential 25% tariff on iPhone imports unless manufacturing moves to the US, as reported by Michael Burry Stock Tracker.

How does Apple’s stock drop impact Bitcoin and Ethereum prices?
Following the news, Bitcoin fell 1.2% to $92,500 and Ethereum dropped 1.5% to $3,200 as of 10:00 AM EST on May 23, 2025, reflecting a risk-off sentiment in markets correlated with tech stocks like Apple, per data from CoinGecko.