Donald Trump is making headlines with comments regarding tariffs while BTC is finding buyers at $76,700. The cryptocurrency has seen a dip as it erased its recent gains, influenced by an increase in additional tariffs against China to 104%. We had previously warned that sales could accelerate as we approach April 9, prior to a potential acceleration in declines. So, what is Trump saying, and will the downturn in cryptocurrencies persist?
Trump’s Recent Remarks
Recently, we witnessed advisors indicating that Trump is indifferent to market fluctuations. These statements underscore his determination, serving as a threat to other nations. While details reveal ongoing negotiations with over 50 countries, China remains resolute, asserting, “we will not back down.”
Key points from Trump’s ongoing statements include;
“Today’s action will unlock the Defense Production Act for coal. We will guarantee that the coal business cannot be terminated. Under this executive order, we will reduce regulations targeting coal. The executive order will ease permitting for coal. Billions of federal dollars will be allocated to invest in next-generation coal technology.
We are collecting $2 billion a day from tariffs. We are progressing well with special tariff agreements. Japan is coming here to negotiate, and so is South Korea. I have conducted tariff negotiations with over 70 countries. Tariffs continue to be in effect.
We have tariffs on automobiles, lumber, and steel. We are protecting our steel workers and industry. I recently met with leaders from the steel industry. All of the steel executives are building facilities in the U.S.”
Fitch Ratings recently noted regarding tariffs;
“The financial impact of U.S. tariffs is mixed and will not resolve underlying challenges. Unless long-term spending pressures are addressed, it will be difficult to stabilize the U.S. debt/GDP ratio. A sharper economic slowdown in the U.S. will significantly pressure non-tariff revenue and increase spending through automatic stabilizers. We believe tariffs significantly raise the U.S.’s recession risks and constrain the Fed’s ability to lower interest rates further.”
UK Prime Minister Reeves will discuss the tariff crisis with senior public officials. Based on recent statements, Trump appears largely inclined to sign agreements with mutual concessions. However, it seems that China will be excluded from this equation. Given that even Italy will come to the negotiating table only after the 15th, it seems challenging to reach these agreements in the coming weeks. Consequently, the short-term negativity in cryptocurrency may persist until a definitive announcement of an agreement is made. The 104% tariff against China and potential retaliatory measures or trade deal proposals with the EU and other tariff victims will be significant issues in the coming days.
