Dogecoin Soars as Bitcoin Edges Toward $110K on Rate-Cut Hopes and Tariff Delay

Dogecoin surged over 6% in the past day, leading a rally across cryptocurrencies as investors reacted positively to signs of easing U.S. trade tensions and growing expectations that the Federal Reserve could lower interest rates later this year.

The popular memecoin was trading around $0.1698, reflecting a strong comeback in retail enthusiasm. At the same time, Bitcoin (BTC) crossed $109,000, gaining 1.1% on the day, as markets digested news of a delay in the U.S. tariff timeline.

This rally was sparked after U.S. officials clarified that President Trump’s proposed tariff increases wouldn’t go into effect immediately. Instead, the deadline has been pushed from July 9 to August 1, giving countries more time to negotiate trade agreements, Treasury Secretary Scott Bessent confirmed. The move eased concerns about an imminent global trade shock.

“Markets are rallying after it was revealed countries will have more time to negotiate before tariffs take effect,” noted Jeff Mei, COO at BTSE.

“If we see a soft CPI print on Tuesday, that could open the door for a Fed rate cut later this year,” Mei added via Telegram.

This more dovish outlook has boosted investor sentiment heading into a pivotal week. All eyes are now on the U.S. Consumer Price Index (CPI) report due Wednesday. A lower-than-expected inflation reading could push the Fed closer to cutting rates, possibly as soon as September.

The possibility of rate cuts has lifted risk assets, including cryptocurrencies.

Ethereum (ETH) climbed 2.5% to $2,570, while other prominent altcoins also posted gains:

• Solana (SOL): $152.03 (+4%)
• XRP: $2.2901 (+3%)
• Cardano (ADA): $0.5826 (+2.5%)
• Tron (TRX): $0.2870 (+2.2%)

“The BTC bounce and ETH inflows show traders are rotating into long-term value assets,” said Eugene Cheung, Chief Commercial Officer at OSL.

“We’re optimistic that more investors will look to Bitcoin and Ethereum to escape macro volatility and potential inflation increases as the Fed signals high potential to cut interest rates this year.”

Dogecoin Draws Retail Buzz

Dogecoin’s rally has been especially notable not only for its price surge but also for its rising trading activity, with volume topping $1.5 billion in the last 24 hours—a significant increase, particularly for a weekend session after a mostly flat week.

Fueling additional buzz was Elon Musk, a vocal Dogecoin supporter, who announced his plans to launch an “America Party,” prompting speculation about future crypto-friendly policies or initiatives tied to his political ambitions.

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