Ethereum's value drops further, approaching the $2,400 threshold.
Ether's Dive Near $2,400 Amid Trump-Musk Feud and Crypto Market Turmoil
Ether, the second largest cryptocurrency by market cap, has taken a hit, plummeting nearly 6% in the last 24 hours. This descent is largely attributed to the ongoing feud between former Tesla CEO Elon Musk and former US President Donald Trump, and the ripple effects it's caused in the crypto market.
At the time of writing, Ether is trading at $2,456, recuperating slightly from the sudden price drop that occurred around 2:00 AM UTC. In the past few hours, Ether has seen a dramatic drop from its peak of $2,634, touching as low as $2,408.
The recent price dip of Ether has sparked a surge in trading activity, with its daily trading volume soaring by nearly 64% compared to the previous day. Similarly, Bitcoin has also seen a 1.2% decline, trading hands at $103,438. This has led to a significant drop in the total crypto market cap, which has fallen nearly 4% from $4.1 trillion on June 5 to $3.29 trillion on June 6.
Traders believe this decline began when Musk, known for his ownership of Dogecoin (DOGE), resigned from his role and criticized Trump's spending bill, dubbed the Big Beautiful Bill. In response, Trump reportedly revoked Jared Isaacman's NASA nomination, a close associate of Musk.
Data from DeFi Llama shows that Ethereum's Total Value Locked (TVL) has also suffered due to the price drop, falling by nearly 4% to $59.9 billion. Despite this, Ethereum still holds a significant lead over Solana in terms of TVL, with Solana's TVL standing at only $8 billion. On the other hand, Ethereum's on-chain fees have increased two-fold compared to the beginning of June.
Ethereum co-founder Vitalik Buterin recently admitted that while Ethereum has a stronghold in areas such as censorship resistance and security, Bitcoin is still ahead in terms of coding simplicity, fewer protocol changes, node count, and lesser dependency on remote procedure call services.
It's important to note that the events described above occurred in June 2025, not June 2021, as there was no significant feud between Trump and Musk in 2021 that directly impacted the crypto market. The 2021 downturn was primarily driven by regulatory actions and macroeconomic factors, not by any notable dispute between Trump and Musk.
[1] Crypto Feud Triggers Market Turmoil in June 2025: An In-Depth Analysis - URL Removed for Privacy[3] Factors behind the June 2021 Crypto Market Downturn - URL Removed for Privacy
- In June 2025, Ether, the second largest cryptocurrency by market cap, plunged nearly 6%, largely as a result of the feud between former US President Donald Trump and Tesla's former CEO Elon Musk, which affected the wider crypto market.
- At the time of writing, Ether was trading at $2,456, having recovered slightly from a sudden price drop that occurred around 2:00 AM UTC. Ether's price dipped from a peak of $2,634 to as low as $2,408 during the same period.
- The decline in Ether's price triggered a surge in trading activity, with the daily trading volume increasing by nearly 64% compared to the previous day. Bitcoin also saw a 1.2% decline, trading at $103,438 during the same timeframe.
- This decline began when Musk, known for his ownership of Dogecoin (DOGE), resigned from his role and criticized Trump's spending bill, the Big Beautiful Bill. In response, Trump revoked Jared Isaacman's NASA nomination, a close associate of Musk.
- Data from DeFi Llama shows that Ethereum's Total Value Locked (TVL) dropped by nearly 4% to $59.9 billion due to the price drop. Despite this, Ethereum still holds a significant lead over Solana in terms of TVL, with Solana's TVL standing at only $8 billion.
- Ethereum co-founder Vitalik Buterin admitted that while Ethereum has a stronghold in areas such as censorship resistance and security, Bitcoin is still ahead in terms of coding simplicity, fewer protocol changes, node count, and lesser dependency on remote procedure call services.
