Crypto Market Recovers 10% Following 90-Day Tariff Pause, Bitcoin And XRP See Significant Gains

Ronaldo Marquez

2 months ago

3 mins read

Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Created by industry experts and meticulously reviewed

The highest standards in reporting and publishing

How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

The market’s leading cryptocurrency, Bitcoin (BTC), and its peers, are grappling with increased volatility after a tumultuous week in financial markets, heavily influenced by President Donald Trump’s trade policies.

After a sharp decline, the leading cryptocurrency rebounded above the key $80,000 mark as uncertainty grew over a global economic recession that could have further weighed on digital asset prices.

Bitcoin Surges Past $84,000 After 90-Day Tariff Pause

The week began with Bitcoin dropping to a low of $74,000 on Monday, prompting concerns among investors. However, by Friday, the cryptocurrency had surged past $84,000, recovering 11% of its value in just a few days.

This rebound coincided with Trump’s announcement of a 90-day pause on certain tariffs, which alleviated some of the immediate market fears.

Other cryptocurrencies also saw significant gains during this period. XRP, for instance, climbed 20% to $1.99 after hitting a low of $1.66 earlier in the week.

Similarly, Solana (SOL) increased by 23%, reaching $120 after dipping to $97. Overall, the total market capitalization for the cryptocurrency sector grew to $2.59 trillion, a 10% increase from its earlier value of $2.35 trillion.

Crypto Market Reacts To Trump’s Tariff Reversal

The initial downturn in the crypto market was largely driven by apprehensions surrounding Trump’s proposed sweeping tariffs on almost all US trading partners, set to take effect on Wednesday. Investors reacted by offloading riskier assets like cryptocurrencies to safeguard their portfolios from potential economic fallout.

However, the situation took a dramatic turn hours after the tariffs were implemented. Trump decided to reverse some of his more aggressive tariff plans, maintaining a baseline levy of 10% on most countries while imposing additional tariffs on China, raising its total to 145%.

This reversal had a significant impact on the markets, with the S&P 500 experiencing its largest one-day gain since 2008, closing up 9.5%. Bitcoin benefitted as well, rising by 5% in the immediate aftermath of Trump’s announcement.

Despite the short-term relief, traditional markets faced renewed declines on Thursday, although they showed some recovery on Friday. Bitcoin remains down approximately 25% from its all-time high of $109,000 reached in January.

The ongoing volatility in both the cryptocurrency and traditional markets is largely attributed to the uncertainty surrounding trade policies and a slowing economy, as reported by Fortune.

Youwei Yang, chief economist at crypto mining company BIT Mining, noted the persistent volatility in the crypto space, stating:

The temporary 90-day pause brought some relief, but the market remains cautious. While this administration is pro-crypto, the broader crypto market is still searching for conviction, stuck in a bearish chop and waiting for clearer signals to regain momentum.

As of now, the market’s leading cryptocurrency trades at $84,760.

Featured image from DALL-E, chart from TradingView.com

Ronaldo Marquez

Ronaldo is an experienced crypto enthusiast dedicated to the nascent and ever-evolving industry. With over five years of extensive research and unwavering dedication, he has cultivated a profound interest in the world of cryptocurrencies.

Ronaldo's journey began with a spark of curiosity, which soon transformed into a deep passion for understanding the intricacies of this groundbreaking technology.

Driven by an insatiable thirst for knowledge, Ronaldo has delved into the depths of the crypto space, exploring its various facets, from blockchain fundamentals to market trends and investment strategies. His tireless exploration and commitment to staying up-to-date with the latest developments have granted him a unique perspective on the industry.

One of Ronaldo's defining areas of expertise lies in technical analysis. He firmly believes that studying charts and deciphering price movements provides valuable insights into the market. Ronaldo recognizes that patterns exist within the chaos of crypto charts, and by utilizing technical analysis tools and indicators, he can unlock hidden opportunities and make informed investment decisions. His dedication to mastering this analytical approach has allowed him to navigate the volatile crypto market with confidence and precision.

Ronaldo's commitment to his craft goes beyond personal gain. He is passionate about sharing his knowledge and insights with others, empowering them to make well-informed decisions in the crypto space. Ronaldo's writing is a testament to his dedication, providing readers with meaningful analysis and up-to-date news. He strives to offer a comprehensive understanding of the crypto industry, helping readers navigate its complexities and seize opportunities.

Outside of the crypto realm, Ronaldo enjoys indulging in other passions. As an avid sports fan, he finds joy in watching exhilarating sporting events, witnessing the triumphs and challenges of athletes pushing their limits. Furthermore, His passion for languages extends beyond mere communication; he aspires to master German, French, Italian, and Portuguese, in addition to his native Spanish. Recognizing the value of linguistic proficiency, Ronaldo aims to enhance his work prospects, personal relationships, and overall growth.

However, Ronaldo's aspirations extend far beyond language acquisition. He believes that the future of the crypto industry holds immense potential as a groundbreaking force in history. With unwavering conviction, he envisions a world where cryptocurrencies unlock financial freedom for all and become catalysts for societal development and growth. Ronaldo is determined to prepare himself for this transformative era, ensuring he is well-equipped to navigate the crypto landscape.

Ronaldo also recognizes the importance of maintaining a healthy body and mind, regularly hitting the gym to stay physically fit. He immerses himself in books and podcasts that inspire him to become the best version of himself, constantly seeking new ways to expand his horizons and knowledge.

With a genuine desire to become the best version of himself, Ronaldo is committed to continuous improvement. He sets personal goals, embraces challenges, and seeks opportunities for growth and self-reflection. Ultimately, combining his passion for cryptocurrencies, dedication to learning, and commitment to personal development, Ronaldo aims to go hand-in-hand with the exciting new era that the emerging crypto technology is bringing to the world and societies.

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.