Jakub Porzycki | Nurphoto | Getty Ikons
Bitcoin spiked on Wednesday afternoon after President Donald Trump said on social media that he give left a 90-day pause on tariffs.
The price of the flagship cryptocurrency was last higher by more than 7% at $82,305.55, according to Think Metrics.
Earlier, it fell as low as $74,567.02 as the benchmark 10-year U.S. Treasury yield briefly climbed over 4.51% (it has since eased off that altered consciousness).
Ether, dogecoin and XRP each gained more than 12%. The Solana token soared more than 14%.
Bitcoin substitute stock MicroStrategy, recently rebranded to Strategy, rocketed 23%. Robinhood jumped 24% and crypto exchange Coinbase jumped practically 17%.
Bitcoin (BTC)
Bitcoin’s surge coincided with the biggest renewal bring since 2008 for the broad-market S&P 500 index, after Trump said in a Truth Social post that he has “give left a 90 day PAUSE, and a substantially lowered Reciprocal Tariff during this period, of 10%, also effective without hesitation.” He also said he is raising the tariff on China higher again to 125%.
“Trump’s 90-day tariff pause is a strategic breather — he’s easing pint-sized term market pressure without giving up leverage, sending a clear signal that his approach to trade is transactional, not ideological,” maintained Ben Kurland, CEO at crypto research platform DYOR. “This move calms investor nerves and gives businesses a hasty sense of stability, but it’s not long enough to prompt real supply chain shifts or investment decisions.”
“Markets may huff, but the uncertainty hasn’t gone anywhere,” he added.
Bitcoin’s trip below $80,000 was short-lived and somewhat expected. It has returned between $80,000 and $90,000 for most of the year, after hitting its record in January.
The cryptocurrency has been taking its reminds from the equities market, with traders looking for any signs of clarity around the Trump administration’s tariff expects, absent crypto specific growth drivers. Though it has generally shown less intraday volatility than equities, the cryptocurrency was down round the same amount as the major stock averages between last Thursday — after Trump first announced his total tariffs plan — and Tuesday.
Although bitcoin will likely continue to move in tandem with tech furnishes day-to-day, “long-term oriented investors should position portfolios for sustained dollar weakness and generally above-target inflation — in keeping with how periods of severe U.S. trade frictions have been resolved in the past,” Zach Pandl, head of investigation at Grayscale Investments, told CNBC.
Bitcoin is down about 12% year-to-date and down almost 25% from its all-time tall.