“Can hope lead the way? Bitcoin recovers to $85K with Trump’s ‘Liberation Day’ tariff announcement looming.”

Bitcoin and Crypto Surge as Trump’s ‘Liberation Day’ Tariff Announcement Looms

As traders await President Donald Trump’s anticipated tariff announcement, cryptocurrencies are rebounding from recent turbulence, with hopes rising that the new tariffs may not be as severe as initially feared.

Bitcoin (BTC) saw a modest gain, climbing 2.1% to just above $85,000 by early Tuesday afternoon, while other major cryptocurrencies like Ether (ETH), Dogecoin (DOGE), and Cardano (ADA) surged by up to 5%. The positive momentum also extended to crypto stocks, with Core Scientific (CORZ) and CleanSpark (CLSK) jumping nearly 10%, Strategy (MSTR) up by 5.4%, and Coinbase (COIN) gaining 2.1%.

The broader U.S. stock market also showed signs of recovery, with the Nasdaq moving up nearly 1% after reversing early losses.

This rally in risk assets comes just ahead of the Trump administration’s “Liberation Day” tariff announcement, set to take place after the close of U.S. markets on Wednesday. The market had been on edge, fearing a sweeping 20% tariff on imports, but a report from NBC News suggested that such an all-encompassing approach might not be pursued. Instead, the White House could announce a “tiered” or country-specific tariff structure, which would likely be less disruptive to global markets.

White House Press Secretary Karoline Leavitt acknowledged the market’s concerns, stating that the administration recognizes the legitimate concerns about volatility caused by tariff discussions. Meanwhile, Israel’s Finance Minister Bezalel Smotrich confirmed that efforts are underway in Israel to remove tariffs on U.S. imports, signaling potential easing of global trade tensions.

The combination of these developments is fueling optimism across markets, with investors betting that the upcoming tariff announcement may not disrupt the economic landscape as much as initially anticipated. This has spurred a rally in both cryptocurrency and traditional assets.

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