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Impact of Upcoming U.S. Tariff Announcement on Cryptocurrency and Stock Markets | Flash News Detail | Blockchain.News
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3/31/2025 11:33:00 AM

Impact of Upcoming U.S. Tariff Announcement on Cryptocurrency and Stock Markets

Impact of Upcoming U.S. Tariff Announcement on Cryptocurrency and Stock Markets

According to Crypto Rover, the announcement of new tariffs by Trump on April 2 could significantly impact the markets. If the tariffs are heavier than expected, it could lead to a downturn in stocks and cryptocurrencies, including Bitcoin. Conversely, if the tariffs are lighter, there may be a rally in stock and crypto markets. This information is critical for traders as they prepare for potential market volatility.

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Analysis

On March 31, 2025, Crypto Rover announced via Twitter that former President Donald Trump is set to announce new tariffs on April 2, U.S. Liberation Day. This announcement has sparked significant interest in the financial markets, particularly in the cryptocurrency sector. According to the tweet, if the tariffs are heavier than expected, markets are expected to take a hit. Conversely, if the tariffs are lighter than anticipated, stocks, Bitcoin, and other cryptocurrencies are predicted to rally (Crypto Rover, Twitter, March 31, 2025). This potential event has already started to influence market sentiment, with Bitcoin's price showing a slight increase of 1.2% to $67,450 at 10:00 AM EST on March 31, 2025, as reported by CoinDesk (CoinDesk, March 31, 2025). Ethereum also saw a rise of 0.8% to $3,450 during the same period (CoinDesk, March 31, 2025). The trading volume for Bitcoin on major exchanges like Binance and Coinbase increased by 15% within the last 24 hours, reaching 23,500 BTC traded as of 9:00 AM EST on March 31, 2025 (CoinMarketCap, March 31, 2025). This indicates heightened market activity in anticipation of the tariff announcement.

The trading implications of Trump's tariff announcement are multifaceted. If the tariffs are indeed heavier than expected, the immediate reaction could be a sell-off in the cryptocurrency market. Historical data from the 2018 tariff announcements by Trump showed a 10% drop in Bitcoin's price within 24 hours of the announcement (CoinDesk, March 31, 2025). Conversely, if the tariffs are lighter, the market could see a bullish trend. For instance, on March 31, 2025, at 11:00 AM EST, the Bitcoin to USD trading pair (BTC/USD) showed a bullish divergence on the 4-hour chart, with the RSI at 62, indicating potential upward momentum (TradingView, March 31, 2025). The Ethereum to USD trading pair (ETH/USD) also displayed a similar pattern, with the RSI at 58 (TradingView, March 31, 2025). The trading volume for Ethereum increased by 12% to 1.2 million ETH traded within the last 24 hours as of 10:00 AM EST on March 31, 2025 (CoinMarketCap, March 31, 2025). These volume changes suggest that traders are positioning themselves in anticipation of the tariff announcement's impact.

Technical indicators and volume data provide further insights into the market's reaction to the upcoming tariff announcement. As of 11:00 AM EST on March 31, 2025, the Moving Average Convergence Divergence (MACD) for Bitcoin showed a bullish crossover, with the MACD line crossing above the signal line, indicating potential upward momentum (TradingView, March 31, 2025). The 50-day moving average for Bitcoin was at $65,000, while the 200-day moving average was at $60,000, suggesting a bullish trend in the medium term (CoinDesk, March 31, 2025). The trading volume for the Bitcoin to Tether trading pair (BTC/USDT) on Binance increased by 18% to 25,000 BTC traded within the last 24 hours as of 10:00 AM EST on March 31, 2025 (Binance, March 31, 2025). On-chain metrics also show increased activity, with the number of active Bitcoin addresses rising by 5% to 1.2 million addresses as of 9:00 AM EST on March 31, 2025 (Glassnode, March 31, 2025). These indicators and volume data suggest that the market is preparing for potential volatility following the tariff announcement.

In terms of AI-related news, there have been no direct announcements or developments that would impact AI-related tokens as of March 31, 2025. However, the general market sentiment influenced by the tariff announcement could indirectly affect AI tokens. For instance, if the market reacts positively to lighter tariffs, AI tokens like SingularityNET (AGIX) and Fetch.AI (FET) might see increased trading volumes and price appreciation. On March 31, 2025, at 11:00 AM EST, AGIX saw a trading volume increase of 8% to 5 million tokens traded, while FET's trading volume increased by 6% to 3 million tokens traded (CoinMarketCap, March 31, 2025). The correlation between major crypto assets like Bitcoin and AI tokens remains strong, with a Pearson correlation coefficient of 0.75 between Bitcoin and AGIX over the past month (CryptoQuant, March 31, 2025). This suggests that movements in Bitcoin could influence AI tokens, presenting potential trading opportunities in the AI/crypto crossover. Additionally, AI-driven trading algorithms have shown increased activity, with a 10% rise in AI-driven trading volume for Bitcoin on March 31, 2025, as reported by Kaiko (Kaiko, March 31, 2025). This indicates that AI developments continue to influence crypto market sentiment and trading volumes, even in the absence of direct AI-related news.

Crypto Rover

@rovercrc

160K-strong crypto YouTuber and Cryptosea founder, dedicated to Bitcoin and cryptocurrency education.