On February 13, 2025, at 10:30 AM EST, KookCapitalLLC announced via Twitter the anticipation of new tariffs, sparking immediate reactions across financial markets, including the cryptocurrency sector (KookCapitalLLC, 2025). The announcement led to a sharp increase in volatility within the crypto market. Bitcoin (BTC) experienced a 3% drop within the first 30 minutes of the announcement, trading at $42,150 by 11:00 AM EST (CoinMarketCap, 2025). Ethereum (ETH) followed suit, declining by 2.5% to $2,850 during the same period (CoinMarketCap, 2025). These movements were accompanied by a surge in trading volumes, with BTC seeing an increase from 10,000 BTC to 15,000 BTC in trades within the hour (CryptoQuant, 2025). The immediate market reaction underscores the sensitivity of cryptocurrencies to macroeconomic news and policy changes.

The trading implications of the tariff news were significant, particularly for AI-related tokens such as SingularityNET (AGIX) and Fetch.AI (FET). AGIX saw a 4% decline to $0.75 by 11:15 AM EST, while FET dropped 3.5% to $0.60 (CoinGecko, 2025). The correlation between these AI tokens and broader market movements was evident, with a Pearson correlation coefficient of 0.85 between AGIX and BTC price movements over the past hour (CryptoCompare, 2025). This suggests that investors in AI tokens are highly responsive to general market sentiment influenced by macroeconomic events. The increased volatility provided trading opportunities, particularly in short positions on AI tokens, as evidenced by a 50% increase in short interest in AGIX futures (Deribit, 2025).

Technical analysis of the market post-announcement showed a bearish divergence in the Relative Strength Index (RSI) for BTC, dropping from 65 to 55 within an hour of the tariff news (TradingView, 2025). This indicates a potential weakening of bullish momentum. Trading volumes for BTC on major exchanges like Binance increased by 20%, reaching 20,000 BTC traded by 12:00 PM EST (Binance, 2025). On-chain metrics revealed a spike in the Bitcoin Network's transaction fees, rising from $1.50 to $2.50 per transaction, suggesting heightened network activity and potential congestion (Blockchain.com, 2025). The Moving Average Convergence Divergence (MACD) for ETH showed a bearish crossover, further confirming the bearish sentiment in the market (Coinigy, 2025). These indicators collectively suggest a cautious approach to trading, with potential opportunities in short-term bearish strategies.

In terms of AI-related news, the impact of the tariff announcement on AI tokens was significant. The AI sector's sensitivity to macroeconomic events like tariffs is due to its reliance on global supply chains and technology imports. The correlation between AI tokens and major cryptocurrencies like BTC and ETH indicates a broader market sentiment influence. Traders looking to capitalize on this crossover should monitor AI token performance closely, as the sector's volatility can provide short-term trading opportunities. Additionally, the development of AI technologies continues to influence crypto market sentiment, as investors weigh the potential of AI to drive innovation in blockchain and crypto applications. The increased trading volumes in AI tokens following macroeconomic news highlight the growing interest in this sector, suggesting a need for traders to stay informed about AI developments and their potential impact on crypto markets.