Bitcoin Climbs Ahead of Trump’s Tariff Announcement as Crypto and Stocks Rally
In anticipation of President Donald Trump’s imminent tariff announcement, cryptocurrency markets are showing signs of strength, with Bitcoin (BTC) leading the charge, rising above $85,000 on Tuesday afternoon. This increase comes as traders speculate that the tariffs may not be as severe as previously feared, providing a boost to risk assets across the board.
Bitcoin surged by 2.1% in the last 24 hours, while other major cryptocurrencies like Ether (ETH), Dogecoin (DOGE), and Cardano (ADA) performed even better, each posting gains of around 4-7%. This optimism also extended to crypto-related stocks, with Bitcoin mining companies like Core Scientific (CORZ) and CleanSpark (CLSK) jumping nearly 10%, while Strategy (MSTR) and Coinbase (COIN) saw more modest gains of 5.4% and 2.1%, respectively.
In the traditional markets, U.S. stocks turned positive after initial losses, with the Nasdaq rising by nearly 1% as the broader market regained some confidence.
This rally is happening ahead of Trump’s anticipated “Liberation Day” tariff announcement, scheduled for after the U.S. market close on Wednesday. Concerns had mounted over the possibility of blanket 20% tariffs, which could have sent shockwaves through global markets. However, a report from NBC News indicated that the administration might opt for a more targeted, tiered approach to tariffs, which would likely have less of a disruptive effect.
In a related development, White House Press Secretary Karoline Leavitt acknowledged the market turbulence caused by the tariff discussions, suggesting that the administration is aware of the concerns. Additionally, Israel’s Finance Minister Bezalel Smotrich announced on Tuesday that the country is initiating steps to remove tariffs on U.S. imports, a move that could further ease global trade tensions.
As traders await the official announcement, hopes are growing that the potential economic fallout from the tariffs may not be as significant as once thought, fueling the current rally in both the cryptocurrency and stock markets.
