cpeditor
Bitcoin Surpasses $90K as Trump Backs Off Auto Tariffs on Canada, Mexico
Bitcoin soared above $90,000 on Wednesday after President Donald Trump delayed planned tariffs on auto imports from Canada and Mexico, easing investor fears and fueling a rally across risk markets.
The U.S. government announced the one-month tariff extension just a day after initially imposing the trade measures. Meanwhile, global markets received additional support from Germany’s proposal to loosen debt restrictions for infrastructure projects and China’s decision to raise its fiscal deficit target.
Following the news, BTC jumped 3.7% in the past 24 hours, leading gains in the broader crypto market. The CoinDesk 20 Index showed strong upward momentum across digital assets, with bitcoin cash (BCH), Chainlink (LINK), and Aptos (APT) registering double-digit gains.
Traditional equities also responded positively, with the Nasdaq and S&P 500 advancing 1.2% and 1.5%, respectively. Crypto-related stocks saw a sharp recovery, with Coinbase (COIN) rising 3.5% and MicroStrategy (MSTR) gaining nearly 10%.
Market strategists note that geopolitical uncertainty and trade tensions have historically led investors to flock to the U.S. dollar, applying downward pressure on risk assets. However, this time, the U.S. dollar index (DXY) fell to its lowest level since early November, down over 5% from its January peak—providing a tailwind for crypto markets.
“With the Fed tilting toward more rate cuts in 2025 and bitcoin reinforcing its role as a hedge against economic uncertainty, we expect BTC to remain well-supported,” said Joel Kruger, market strategist at LMAX Group.
Despite bitcoin’s price swings in recent days, Swissblock analysts emphasized that its core fundamentals remain robust.
“Bitcoin’s liquidity and network growth continue to strengthen, positioning it for a potential breakout into a sustained bullish cycle,” Swissblock wrote in a Telegram update.
