BTC Back Up Above $90,000 After Trump’s Tariffs Delay Announcement

Bitcoin surged past $90,000 on Wednesday, breaking a key psychological threshold following President Donald Trump's announcement of delayed tariffs on Canada and Mexico.

The cryptocurrency, recently trading near $89,700, continued its upward momentum.

According to CoinMarketCap, Bitcoin is up 4.97% in the past 24 hours, reaching $91,849.44.

Researcher Noelle Acheson wrote on Wednesday in her Crypto Is Macro Now newsletter:

“Commerce Secretary Howard Lutnick’s comments yesterday that the current round of tariffs is open to negotiation, and that there could be an amendment as soon as today, helped boost hopes that the eventual impact won’t be as painful.”

She lamented that Trump’s delay of Mexico-Canada tariffs is exhausting.

Market uncertainty driven by US trade tensions, the Ukraine conflict, and broader macroeconomic concerns has pressured risk assets, including crypto, in recent weeks.

Bitcoin briefly dipped to $82,700 on Tuesday and fell below $79,000 last week before rebounding over the weekend after Trump revealed plans for a “strategic crypto reserve.”

Impact of Trade War on US Economy

Some analysts remain wary of the economic fallout from a potential US trade war, as signs of slowing growth emerge.

Greg Magadini, director of derivatives at the crypto data provider Amberdata, said:

“Like the rest of the equities market, we’re starting to price in the potential for a recession due to global trade slowing down as reciprocal tariffs come into play.”

Addressing Congress on Tuesday night, President Trump acknowledged that his trade policies might cause “a little disturbance” but insisted the country could withstand it.

Brian Rudick, head of research at crypto market maker GSR, noted:

“People are now watching economic growth particularly closely. Folks are looking at the incoming data and seeing it point to a potentially softening U.S. economy.”

The Federal Reserve Bank of Atlanta now forecasts a 2.8% annualised contraction in the US economy for the first quarter.

Meanwhile, Elon Musk’s cost-cutting measures at the White House have deepened growth concerns, with job reductions across government agencies.

Rudick described the Department of Government Efficiency (D.O.G.E.) as effectively “anti-stimulus,” reducing federal contributions to economic expansion.

The crypto market, already vulnerable to macroeconomic shifts, is growing increasingly anxious as regulatory clarity remains elusive.

“Crypto regulations are taking more time than we thought,” Rudick observed, citing ongoing debates over a market structure bill and stablecoin legislation on Capitol Hill.

Surge of Auto Stocks with Trump’s Exempts of Mexico-Canada Auto Imports from New Tariffs for a Month

President Trump has agreed to delay tariffs on certain North American-built vehicles for one month following discussions with top US automakers, the White House announced Wednesday.

The decision sent auto stocks surging, with Stellantis rising 7%, while Ford and General Motors gained 4% and 5%, respectively.

During a call with GM CEO Mary Barra, Ford CEO Jim Farley, Ford Executive Chairman Bill Ford, and Stellantis Chair John Elkann, automakers urged Trump to waive the 25% tariffs on Mexico and Canada for vehicles meeting the 2020 US-Mexico-Canada Agreement's (USMCA) rules of origin.

The move is expected to benefit both US and qualifying foreign automakers.

White House press secretary Karoline Leavitt told reporters:

"We are going to give a one-month exemption on any autos coming through USMCA... so they are not at a disadvantage. The president is happy to do it.”

She claims that Trump is also considering further exemptions:

"Reciprocal tariffs will still go into effect on April 2."

Automakers have expressed a willingness to increase US investments but seek clarity on tariff and environmental policies.

With Trump set to decide on additional tariffs by 2 April, industry leaders warn of potential disruptions to US auto production.

The North American auto supply chain relies on cross-border manufacturing, exposing companies to multiple tariffs at different production stages.

While Stellantis has indicated a readiness to expand US operations, it stressed the need for time before implementing major shifts.

Limiting tariff relief to compliant vehicles could disadvantage foreign automakers that have chosen to pay a 2.5% import duty rather than adhere to North American trade rules.

Addressing Congress on Tuesday, Trump asserted that his policies would drive economic growth and allow the US auto industry to "boom."

Stellantis said in an email:

"We are prepared to work with the Trump administration to support further investment in our U.S. manufacturing footprint but we need time to make these changes without negatively impacting the business and our customers."

Is Trump’s Fickle-Mindedness Creating Unnecessary Chaos and Confusion?

Michael Green, chief strategist at Simplify Asset Management, cautioned that Trump's shifting stance could heighten market instability:

“We now are at a point where a single tweet or a single release of information can significantly change the interpretation of what markets look like.”

As the president’s unpredictability continues, is his indecision fuelling unnecessary chaos and uncertainty?