The cryptocurrency market surged on Wednesday following Donald Trump’s announcement of a 90-day pause on retaliatory trade tariffs in response to ongoing tensions with China.
In a statement posted online, Trump declared an immediate increase in tariffs on Chinese imports to 125%, citing unfair trade practices. However, he also initiated a 90-day negotiation window during which a substantially reduced reciprocal tariff of 10% would take effect.
The crypto market responded swiftly. Bitcoin (BTC) jumped over 6.5% in 24 hours, reaching $82,235. Ethereum (ETH) saw a strong 10.49% gain, trading at $1,629. Other major coins such as XRP, Solana (SOL), and Dogecoin (DOGE) also saw impressive recoveries, with Solana leading the altcoins with a 12.60% surge.
The announcement appears to have eased short-term investor fears of an escalating global trade war. Many traders interpreted the 90-day pause as a sign of potential diplomatic progress, creating a favorable environment for risk-on assets like cryptocurrencies.
Across the board, altcoins experienced renewed momentum. XRP rose over 10%, Dogecoin climbed more than 10% to $0.159, and Cardano (ADA) increased by over 10% as well.
The total daily trading volume across all major digital assets surpassed $250 billion, a significant spike that marks one of the busiest sessions this year.
U.S. stock markets also reflected the renewed optimism, with both the Nasdaq 100 and the S&P 500 posting substantial gains. The Nasdaq surged 9.60% to close at 18,731.53, while the S&P 500 jumped 7.86% to 5,374.60—one of its best single-day performances in recent years.
