Timeline: How Trump tariffs dragged Bitcoin below $80K

1 week ago

Since US President Donald Trump’s inauguration connected Jan. 20, Bitcoin (BTC) has swung from a record precocious of $109,000 to beneath $78,000 arsenic large tariff announcements from the US and retaliatory moves from commercialized partners shaved disconnected chunks of cryptocurrency marketplace worth and rattled planetary markets.

“The back-and-forth connected tariffs, with Trump sometimes pugnacious and sometimes accommodating, has near markets successful a limbo state, wherever fewer radical are consenting to beryllium decidedly bullish but conscionable arsenic fewer are consenting to portion with their assets, fearing to beryllium near connected the side-lines astatine the adjacent rally,” Justin d’Anethan, caput of income astatine Liquify, told Cointelegraph.

By mid-March, investors began regaining assurance arsenic White House messaging pointed to a much measured approach. But mixed signals remain, and with a 2nd question of “reciprocal tariffs” looming connected April 2 — dubbed Liberation Day — marketplace jitters haven’t afloat subsided.

Colombian tariff standoff and DeepSeek disruption shakes Bitcoin

Bitcoin hovered supra $100,000 until Jan. 26, erstwhile Trump threatened 25% tariffs connected each Colombian imports aft Colombian President Gustavo Petro refused to judge US subject craft carrying deported migrants. Petro accused Trump of mistreating immigrants and retaliated with tariffs of his own.

Colombia rapidly reversed people — agreeing to judge deportees — aft facing unit implicit its dependence connected US trade. Bitcoin reclaimed $100,000 soon after. But marketplace sentiment was further shaken by the abrupt emergence of Chinese AI steadfast DeepSeek, whose budget-built exemplary sparked fears of disruption successful the tech assemblage and contributed to risk-off sentiment crossed markets.

Tariff warfare begins and Bitcoin racks losses

On Feb. 1, Trump signed an enforcement order to enforce 10% tariffs connected each Chinese imports and 25% connected Canadian and Mexican goods, effectual Feb. 4, citing nationalist exigency implicit migration and fentanyl. China, Canada and Mexico each threatened retaliation.

Bitcoin tumbled beneath $93,000, rebounding lone aft Trump agreed to a 30-day intermission connected the Canada and Mexico tariffs connected Feb. 3. But the Chinese tariffs took effect arsenic scheduled connected Feb. 4 — and that was the past clip Bitcoin traded supra $100,000.

Bitcoin remained volatile done mid-February. On Feb. 10, Trump announced the removal of alloy and aluminum tariff exemptions, raising each metallic tariffs to 25%, effectual March 12. He past unveiled a “reciprocal tariffs” program to lucifer overseas import taxes.

Bitcoin held dependable astir $93,000 and concisely rallied to $99,000. But connected Feb. 21, the momentum collapsed following the Bybit hack — the largest crypto breach successful past — sending Bitcoin backmost beneath $90,000.

On Feb. 25, Trump added to bearish unit by ordering a reappraisal of imaginable tariffs connected imported copper, citing nationalist security. Bitcoin dipped beneath $80,000 for the archetypal clip since November.

March shows signs of alleviation for Bitcoin

March kicked disconnected with Trump issuing different bid reviewing tariffs connected lumber and timber. But crypto concisely rallied aft the White House unveiled plans for a Strategic Bitcoin Reserve and integer plus stockpile — including XRP, SOL, and ADA.

On March 4, Trump followed done with 25% tariffs connected Canada and Mexico, and doubled Chinese tariffs to 20%. All 3 countries vowed to retaliate. The adjacent day, Trump granted a one-month exemption connected tariffs for US automakers importing from Canada and Mexico. A time later, the White House extended the tariff intermission connected galore imports that suffice nether the USMCA, portion inactive threatening reciprocal tariffs connected April 2.

Trump credited Mexican President Claudia Sheinbaum for “unprecedented” borderline cooperation. Canada besides signaled easing tensions. Bitcoin see-sawed connected the $90,000 people but yet dipped beneath connected March 7, and it has not reclaimed that level astatine the clip of writing.

Meanwhile, Trump finalized the alloy and aluminum hikes. Then connected March 13, helium threatened 200% tariffs connected European wine, champagne and spirits if the EU moved guardant with a 50% taxation connected American whiskey arsenic a retaliation against alloy and aluminum tax.

Tone softens and Bitcoin starts rebound but ‘Liberation Day’ looms

By mid-March, the administration’s code began to soften. On March 18, Treasury Secretary Scott Bessent said tariffs would beryllium tailored to each country’s commercialized practices and could beryllium avoided wholly if partners lowered their ain barriers.

Financial markets, rattled for weeks, began to recover. On March 24, Bitcoin roseate to $88,474 connected reports that Trump’s adjacent circular of tariffs would beryllium much targeted than initially feared.

“In the week starring up to Trump’s reciprocal tariffs connected April 2, expect marketplace volatility, firm lobbying for exemptions, preemptive terms hikes, and planetary diplomatic efforts to mitigate the impact,” Ryan Lee, main expert astatine Bitget Research said successful a written investigation shared with Cointelegraph.

“After the tariffs instrumentality effect, expect ostentation spikes, proviso concatenation disruptions, and mixed occupation outcomes, with imaginable banal marketplace shocks and retaliatory commercialized measures from partners similar China and Canada perchance slowing US economical growth.”

Meanwhile, Liquify’s d’Anethan said investors should proceed monitoring accepted marketplace developments, particularly with Bitcoin’s rising correlation with accepted indexes.

“With BTC’s correlation to the S&P 500 and different accepted assets, it wouldn’t beryllium silly to discount tariffs and geopolitical maneuvering,” helium said.

With April 2 approaching, crypto markets stay fragile — and investors are bracing for what “Liberation Day” mightiness bring. Trump precocious hinted portion speaking to reporters that tariffs connected automobiles, aluminum and pharmaceuticals are nether consideration.

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