The implementation of reciprocal tariffs announced by President Donald Trump could significantly impact global trade and the cryptocurrency market.
Decoding ‘Liberation Day’
US President Donald Trump announced that April 2, 2025, will be ‘Liberation Day’, when reciprocal tariffs will be introduced on countries imposing trade barriers against American goods. Trump's strategy is focused on fairness, imposing tariffs on countries that place heavy duties on US exports. Experts warn of the economic turmoil that could arise from the extensive implementation of these tariffs.
The Crypto Market’s Shaky Ground: The Numbers Don’t Lie
In February 2025, following Trump's announcement of a 25% tariff on Canadian and Mexican imports and a 10% tariff on Chinese goods, the total cryptocurrency market cap shrunk by 8%. Bitcoin's price fell from $105,000 to $92,000. Analysts note that fears of inflation and recession, along with the crypto market's sensitivity to global tensions, could exacerbate the situation.
What Next for Crypto Markets, Boom or Bust?
Experts warn that the introduction of widespread tariffs on April 2, 2025, could lead to further declines in the crypto market. Analysts suggest that a softer approach could trigger a brief market rally, but harsher measures could result in a prolonged downturn. Crypto traders remain on edge due to the uncertainty and market volatility.
The economic measures announced by President Trump could lead to significant changes in the cryptocurrency market. Experts advise caution given the recent market downturn and rising tensions.
