The price of various altcoins fell on Friday after U.S. President Donald Trump threatened to impose new tariffs on the European Union and Apple, the $3 trillion iPhone maker.

Ethereum was recently changing hands around $2,550, a 4.1% decrease over the past day, according to crypto data provider CoinGecko. XRP and Dogecoin fell around 3.6% to $2.35 and $0.23, respectively, while Solana edged down 0.8% to $177.

The EU, one of America’s largest trading partners, should face 50% tariffs on goods imported to the U.S., starting in no less than nine days, Trump said in a post on Truth Social. Apple should also pay 25% tariffs on iPhones that aren’t manufactured in the U.S., the president suggested in a separate post, although he did not specify when the new levies could take effect.

“Altcoins have more downside in an escalating trade conflict because they are fundamentally riskier than Bitcoin,” Zach Pandl, head of research at crypto asset manager Grayscale, told Decrypt. “Most altcoins will not benefit from reserve diversification away from the Dollar.”

Trump’s return to trade-related threats immediately punctured a risk-on sentiment that had prevailed for weeks as his administration took a de-escalatory approach to trade negotiations with nations affected by his “reciprocal” tariffs. The price of gold spiked as Treasury yields moved lower, while Wall Street indices opened in the red on Friday.

Meme coins, including Official Trump ($TRUMP), fell hardest. A day after the president hosted a private dinner for top $TRUMP holders, the asset showed a 13% decrease to $13.47.

Bitcoin’s price fell to 2.7% to $108,500, retreating from an all-time high of $111,800 a day before. Still, Pandl said that “the trade conflict will likely support Bitcoin adoption over the medium term,” echoing the asset’s performance as a safe-haven asset this year.

As markets wavered in April on tariff-related uncertainties, Bitcoin’s correlation with gold strengthened.  Investors turned to both non sovereign assets, amid growing risks to the U.S. dollar and the prevailing global economic order. The trend continued into early May.

Bitcoin’s dominance ticked up on Friday, representing over 62% of the crypto market’s entire value, according to CoinGecko. That measure had softened recently amid risk-on-sentiment, retreating from a high of around 63% at the start of this month.

Conceptually, a renewed trade war could benefit altcoins, if it provokes greater interest in decentralized systems, Pandl said. However, he acknowledged that “the implications are much less direct,” and a reduced risk appetite among investors is likely to impact valuations more.

Edited by James Rubin