Bitcoin jumped over 7% after U.S. President Donald Trump announced a temporary suspension of certain tariffs.
Trump's Announcement and Market Reaction
In a post on Truth Social, Trump stated he had authorized a '90-day pause' on tariffs and that a reduced 10% reciprocal tariff would take effect immediately. However, he also mentioned tariffs on China would rise to 125%. Following this announcement, Bitcoin surged to $82,350.37 after dropping to $74,567.02 earlier in the day.
Impact on Crypto-Related Companies
The market-wide rally also benefited crypto-related stocks. MicroStrategy, recently rebranded as 'Strategy,' rose by 23%, while Robinhood and Coinbase gained 21% and 19%, respectively.
Liquidations in the Crypto Market
The rally also triggered significant liquidations in the derivatives market. According to CoinGlass, over $568 million worth of crypto positions were liquidated in the past 24 hours, including $228.76 million in Bitcoin alone. Shorts accounted for the largest portion of the losses, with $341.42 million liquidated compared to $227.35 million in longs. Ethereum, Solana, and XRP saw liquidations totaling $159.78 million, $28.20 million, and $26.35 million, respectively.
Bitcoin still remains about 25% below its all-time high reached in January, and its recent rally clearly reflects the connection to the stock market.
