Trump’s tariffs push car prices higher. Fewer dealer incentives make new vehicles even more expensive for U.S. buyers.
Trump’s “national emergency” declaration lit a fire under global markets — then stomped it out. Crypto spiked, crashed, and bled $150 billion after tariffs hit like a freight train.
Tariffs Jolt Bitcoin after Trump’s Emergency Declaration
There was no slow build. In a Rose Garden speech, Donald Trump stunned markets by declaring a “national emergency” and launching a sweeping set of tariffs. “We’re charging countries approximately half of what they are and have been charging us,” he said — and with that, the U.S. slapped 10% tariffs on imports from 180 countries. China got the harshest blow, hit with a 54% total levy.
Crypto didn’t know what to do. Bitcoin jumped to $88,500 — then tanked back to $82,876. Ethereum nosedived over 6% to $1,797. The total crypto market lost $150 billion in a flash, according to CoinGecko.
Market Whiplash Turns to Panic as Details Sink In
At first, traders thought it might be bullish. But the optimism didn’t last. Rachael Lucas from BTC Markets said the move was “uncertainty relief” — just long enough for big players to cash out before the selloff. “Smaller investors hesitated,” she added, as volumes jumped 46% on her exchange.
The Crypto Fear & Greed Index crashed to 25 — deep into extreme fear. Still, some see a silver lining. David Hernandez at 21Shares told Cointelegraph the shock could actually help long term: “The announcement provided much-needed clarity… institutional investors may see an opportunity.”
China Hints at Retaliation while Recession Bets Surge
But clarity only goes so far. Early Thursday, China warned of retaliation. The yuan sank to a seven-week low. Robin Brooks from the IIF said on X that if China devalues its currency, “that sets off a global risk-off that hits EMs first and then… spills back to the U.S.”
Markets already smell trouble. On Polymarket, recession odds for 2025 spiked past 50%. Kalshi put them at 54%. S&P 500 futures dropped 3%, and Bitcoin hovered near a bearish technical “death cross.”
Some Expect Fed Cuts if Tariffs Bite Too Hard
UBS doesn’t expect a full recession — just slower growth. But others think the Fed will blink. Joseph Wang at fedguy.com argued, “Big tariffs are very dovish,” adding that the fallout could force the Fed to slash rates again.
For now, Trump’s “national emergency” has crypto bruised and confused. The real panic might only start if Beijing strikes back. As a result, it’s important for investors to keep an eye on how their favorite cryptocurrencies respond to the latest developments on the TipRanks Cryptocurrency Center. Click on the image below to find out more.
