Trump's Targeted Tariffs Have Canceled the Rise in Bitcoin Prices, Erasing the Daily Increase

The President of the United States, Donald Trump, announced reciprocal tariffs on all countries that have trade relations with the United States. Trump stated that the United States will impose different tariff rates on each country based on the tariffs they apply to U.S. goods. This news has led to a significant increase in volatility across major markets, including cryptocurrencies, causing this announcement to wipe out the gains recorded from the significant rally earlier in the day. Bitcoin (BTC) initially rose to $88,500 when Trump took the stage but quickly fell to the daily opening price of around $85,100 before sliding back down after the speech. According to data from CryptoSlate, BTC is still in a downward trend and is trading at $84,382 as of the time of the press report, down 0.99% in the past 24 hours. Traditional risk markets, including stocks, also experienced similar volatility, while gold, considered a safe-haven asset, has returned to an all-time high of nearly $3,100. The broader cryptocurrency market also witnessed similar moves, with the majority of digital assets erasing their daily gains to trade in the red. Ethereum (ETH) decreased by 1.66% on the day and is trading at $1,880 as of the time of reporting after rising to $1,957 earlier in the day. Solana (SOL) decreased by 1.59% over the day and is trading at $128.3 as of the time of reporting, while BNB fell by 2.16% and is trading at $597 during the same period. XRP is trading at $2.09, down 2.55%, while Dogecoin (DOGE) is down 2.45% to $0.1688. Investors have been cautious about exposure to risky assets in recent weeks due to the lack of clarity surrounding Trump's tax plans. Although the initial reaction to this news was negative towards Bitcoin and stocks, the clarity on tariffs could ease market volatility that has restrained investors.