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coinpedia 2025-04-02 07:22:44

Trump Tariff Announcement—Will Bitcoin Price Today Surge Past $90K or Crash Hard?

The post Trump Tariff Announcement—Will Bitcoin Price Today Surge Past $90K or Crash Hard? appeared first on Coinpedia Fintech News Lately, the crypto market hasn’t lived up to expectations under the Trump Administration. While investors hoped that regulatory reforms and the Bitcoin Strategic Reserve would boost prices, instead, Bitcoin has fallen from over $100,000 at the start of the year to the mid-$80,000s for most of March. With the markets bracing up for Trump’s reciprocal tariffs , it’s remains uncertain how BTC will react in the long run. President Trump is gearing up to drop a major announcement on April 2 at 4 p.m. ET, dubbed “ Liberation Day .” He’s expected to unveil reciprocal tariffs targeting 15 countries, including China, Canada, and Mexico, all of which have already imposed tariffs on the U.S. Tariff War Shakes Up the Market The ongoing tariff war is shaking up the stock market, with the S&P 500 dropping over 2% in the past five days. Bitcoin’s price often follows the market, so it could face more ups and downs. The trade war is likely to cause more short-term price swings. Crypto prices have taken a hit as they’ve become more tied to traditional assets like stocks and bonds, which are struggling due to economic uncertainty. U.S. tariffs on imports have left Wall Street worried about a global recession, making investors wary of risky assets like crypto. Marc Ostwald, Chief Economist at ADM Investor Services International, explained that Markets are losing their ‘risk appetite,’ which is pushing crypto further from safe-haven assets like gold, which remains the go-to choice in uncertain times. As the global financial and trade system grows more fragmented, investors are looking for safer alternatives to riskier assets like the U.S. dollar. Right now, gold is the go-to choice, up 18% so far this year. Bitcoin To Take Over Gold? However, this could change, says Omid Malekan, adjunct professor at Columbia Business School. He believes that Bitcoin might soon take over as the ‘new gold’. He noted that the future is uncertain as both crypto and tariffs are new and complex. Some believe crypto is a risky tech asset that would drop due to tariffs. But Bitcoin is also seen as “digital gold ,” and gold prices are rising with tariff news. He believes that when the economy is uncertain, investors might turn to Bitcoin just like they’ve turned to gold recently. Tariffs Could Boost Bitcoin In another positive note, Zach Pandl , head of research at Grayscale, notes that the impact of tariffs on crypto could be “priced in” and the worst might be over already. Besides, he believes that the Liberation Day could ease financial market struggles and if the tariffs are tough but phased, targeting 15 countries, markets will likely rally. .article-inside-link { margin-left: 0 !important; border: 1px solid #0052CC4D; border-left: 0; border-right: 0; padding: 10px 0; text-align: left; } .entry ul.article-inside-link li { font-size: 14px; line-height: 21px; font-weight: 600; list-style-type: none; margin-bottom: 0; display: inline-block; } .entry ul.article-inside-link li:last-child { display: none; } Also Read : U.S Liberation Day 2nd April : Trump Tarrifs Announcment, Crypto News Today, XRP News, Trump Speech Today , He also pointed out that events like Circle’s IPO wouldn’t be happening if institutions weren’t confident in the crypto space and its regulations. Pandl believes that tariffs will reduce the demand for the U.S. dollar and open the door for other currencies like Bitcoin. He still believes that Bitcoin will reach new all-time highs this year, despite the current negative sentiment around its prices. Bounce-back For Bitcoin? Sid Powell, CEO & co-founder of Maple, is saying that traders are hopeful that Trump’s upcoming tariff announcement on April 2 will be less harsh than expected. Powell noted that after weeks of falling prices, any relief could trigger FOMO and a quick bounce-back for Bitcoin. However, he also warns that if the tariffs cause the U.S. dollar to strengthen or slow down the global economy, risky assets like crypto could suffer even more. So, investors are waiting to see what happens before making big decisions. 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Trump’s tariffs could increase market uncertainty, leading to short-term volatility in Bitcoin, but may also boost BTC as a hedge against fiat risks. Who has the highest tariffs? As of recent trade disputes, countries like India, Brazil, and the U.S. impose some of the highest tariffs on imported goods, depending on the sector.

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