Bitcoin Slips to $84.9K After Trump Tariff Shock Sparks Market Jitters

Bitcoin edged down 0.3% to $84,965.1 on Wednesday following U.S. President Donald Trump’s unexpected tariff announcement, which triggered a wave of caution across global markets. Trump revealed plans to impose at least a 10% reciprocal tariff on all imported goods, with even steeper rates for countries levying higher duties on U.S. exports.

China, charging a 67% tariff on U.S. goods, will face a new 34% levy under Trump’s plan—on top of an existing 20% tariff—bringing the total rate to 54%. The move sparked fears of a renewed trade war, as major trading partners are expected to respond with retaliatory measures. The announcement dampened investor sentiment, particularly in risk assets like cryptocurrencies.

Altcoins mirrored Bitcoin's muted movement. Ethereum rose slightly by 0.2% to $1,870.98, while XRP fell 2.3% to $2.09. Solana dipped 0.6%, Cardano dropped 1.7%, and Polygon declined 0.9%. Among meme coins, Dogecoin slipped 2%, and the politically themed $TRUMP token lost 1.7%.

Meanwhile, stablecoin issuer Circle filed for an IPO to list on the New York Stock Exchange, aiming for a $5 billion valuation. JPMorgan and Citigroup are leading the offering. This marks Circle’s second attempt to go public after a failed SPAC merger in 2022 due to regulatory hurdles and crypto market volatility.

If successful, Circle will become one of the largest publicly traded crypto firms in the U.S., following Coinbase and MicroStrategy. However, the IPO comes amid a turbulent equity market, with Wall Street under pressure due to investor concerns over Trump’s economic policies.

Crypto investors remain cautious as geopolitical risks rise, and regulatory developments continue to shape the market landscape.