Bitcoin Rises to $83K Amid Trade Tariff Jitters and Trump’s Crypto Moves

Bitcoin edged up 1.3% to $83,210.9 early Tuesday, recovering slightly after an 11% drop in Q1 2025. The world's largest cryptocurrency also remains down 24% from its January peak. The bounce follows gains in broader financial markets, although investor sentiment remains shaky due to U.S. President Donald Trump’s upcoming trade tariff plans.

Trump is expected to announce new tariffs on April 2—dubbed “liberation day”—targeting sectors like semiconductors, pharmaceuticals, and key commodities. Uncertainty surrounding the scale and impact of these tariffs has weighed heavily on risk assets. Bitcoin, known for its volatility, has underperformed the S&P 500 and Nasdaq this year as risk appetite weakened. Analysts are also raising their odds for a U.S. recession in 2025, further dampening crypto sentiment.

Despite Trump's pro-crypto rhetoric and appointments of crypto-friendly regulators, his policy initiatives—such as forming a strategic reserve using government-held Bitcoin—have done little to boost market confidence. However, Trump’s personal crypto ventures are expanding. A firm led by his sons, Eric Trump and Donald Trump Jr., is set to merge with and take a 20% stake in American Bitcoin, a mining operation tied to Hut 8. Trump has also backed projects like World Liberty Financial and the $TRUMP memecoin.

Altcoins mirrored Bitcoin’s modest recovery. Ethereum rose 1.8% to $1,841.74, XRP inched up 0.1% to $2.1035, while Cardano gained 1.7%. Solana remained flat, and Polygon dipped slightly. Among meme coins, Dogecoin climbed 2.5%, while $TRUMP slipped 0.4%, hovering near record lows.

As crypto markets seek stability, Bitcoin’s recovery and Trump’s deepening involvement in the sector are being closely watched by investors navigating a volatile economic landscape.