#TariffsPause 📰 Tariff Pause Boosts the Crypto Market

In early April 2025, U.S. President Donald Trump announced a 90-day suspension of reciprocal tariffs, establishing a base rate of 10% for most countries. This decision triggered a surge in risk assets, with Bitcoin's price rising from less than $77,000 to approximately $83,000. Cryptocurrency-related companies, such as Strategy (formerly MicroStrategy), Robinhood, and Coinbase, also experienced significant increases in their stock prices. ​

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Subsequently, on February 3, Trump agreed with Mexican President Claudia Sheinbaum to pause the scheduled 25% tariffs for one month. In exchange, Mexico would deploy 10,000 soldiers at the border to address concerns about migration and drug trafficking. This move alleviated fears of a trade war, leading Bitcoin to recover from $92,000 to over $101,000 within hours. Other cryptocurrencies like Solana, Ethereum, and XRP also recorded significant increases. ​

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On February 4, Trump extended the tariff pause to Canada, further boosting the crypto market. Ethereum recovered from an 18% drop to reach $2,881, while Solana rose 13.5% to $216. ​

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Additionally, Bitcoin ETFs in the U.S. recorded net inflows of $340.7 million on February 4, reversing the outflows from the previous day, indicating renewed institutional interest in cryptocurrencies. ​

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