Bitcoin Jumps to $81.8K as Tariff Pause Spurs Market Rally

Bitcoin (BTC), the top cryptocurrency by market cap, has surged nearly 5%, reaching an intraday high of $81,798 on Bitstamp. The rally follows the U.S. government's announcement of a 90-day tariff pause for non-retaliating countries. However, tariffs on Chinese imports have been raised sharply to 125%, fueling global market volatility.

U.S. Treasury Secretary Scott Bessent emphasized that countries choosing not to retaliate would be "rewarded," denying that the decision was influenced by recent market instability. The move has sparked a broader market rally, with the S&P 500 climbing 6% and the Nasdaq-100 soaring 8%, outpacing Bitcoin's gains.

Major crypto-related stocks also posted strong gains. MicroStrategy (MSTR), the largest corporate holder of Bitcoin, saw its shares jump nearly 20%. Robinhood (HOOD) and Coinbase (COIN) followed with 17% and 13% increases, respectively, reflecting renewed investor interest in digital assets.

Meanwhile, Weiss Crypto commented that a broader relief rally may be underway, citing increased liquidity throughout 2025. The firm noted that the market has been primed for a breakout and was simply waiting for a trigger.

Despite this bullish momentum, expectations for an imminent Federal Reserve rate cut have dropped significantly after the latest policy shift. Still, potential future rate cuts remain a key catalyst that could further fuel crypto and equity markets.

With Bitcoin rallying alongside tech stocks and broader indices, investors are watching closely to see if this marks the start of a sustained bullish trend or just a short-term response to geopolitical developments. As crypto prices react swiftly to macroeconomic shifts, the market remains sensitive to upcoming Fed decisions and global trade tensions.