Crypto markets once again struggled to sustain momentum, as an initial rally quickly reversed under renewed selling pressure.

The Supreme Court of the United States ruled 6–3 to overturn President Donald Trump’s tariff program, concluding that the administration exceeded the authority granted under the statute.

In its opinion, the court noted that no previous president had used the law to impose tariffs of comparable scale or breadth. The lack of historical precedent, combined with the expansive authority claimed by the executive branch, suggested the measures went beyond the president’s legitimate reach.

Bitcoin’s short-lived surge

Bitcoin initially climbed roughly 2% on the headline, briefly topping $68,000. The move quickly faded, however, with prices slipping back below $67,000 within minutes — a familiar pattern in recent crypto sessions where rallies have struggled to hold.

Equities showed a steadier response. The Nasdaq Composite gained 0.6% to a session high, indicating a more sustained risk-on tone in traditional markets.

Stagflation concerns resurface

Earlier in the day, fresh figures from the United States Department of Commerce painted a mixed macroeconomic picture. The U.S. economy expanded at a modest 1.4% annualized pace in the fourth quarter of 2025. For the full year, growth slowed to 2.2%, marking the weakest performance since 2020.

At the same time, core personal consumption expenditures (PCE) inflation rose 3% year-over-year, exceeding forecasts of 2.9% and accelerating from 2.8% previously — underscoring persistent inflation pressures.

Art Hogan, chief market strategist at B. Riley Wealth, said the data delivered a conflicting signal of hotter inflation alongside softer growth. That combination, he noted, reinforces the Federal Reserve’s cautious approach to monetary policy.

For crypto investors, the backdrop remains challenging. Policy uncertainty, sticky inflation, and slowing growth continue to limit sustained upside, leaving digital assets vulnerable to swift reversals even after positive headlines.