Bitcoin Climbs Above $84.5K, Poised to End Downtrend After Trump’s Key Tech Tariff Exemptions.

Crypto Markets Show Strong Uptick as Bitcoin and Altcoins Respond to Tariff Exemptions

Bitcoin (BTC) and several major altcoins, including Ethereum (ETH), XRP, and Cardano (ADA), saw significant price gains over the weekend, suggesting a growing willingness to take on risk in the cryptocurrency markets.

Bitcoin surged by over 1.5%, reaching $84,900 on Saturday as it attempted to break out of a three-month downtrend. This price movement followed new tariff exemptions announced by the Trump administration, which included key products such as smartphones, computers, chips, and other electronics. These exemptions, issued by U.S. Customs and Border Protection, apply to President Trump’s 125% tariff on Chinese imports and his baseline 10% global tariff on foreign goods.

“The U.S. imports over $60 billion in smartphones annually. These exemptions focus on critical imports, signaling a shift in U.S. trade policy—likely influenced by pressure from the bond market,” remarked The Kobeissi Letter on X.

This week, trade tensions between the U.S. and China escalated as both nations imposed tariffs exceeding 100% on each other’s goods. However, some financial market segments have priced in expectations of disinflation within the U.S., which goes against widespread inflation concerns. This dynamic has led to speculation that the Federal Reserve may have room to lower interest rates in the near future.

Bitcoin’s technical chart suggests the cryptocurrency is making an effort to stabilize above the descending trendline that marked the steep sell-off from its all-time high above $109K. A successful breakout could attract additional buying momentum from traders relying on technical indicators.

In addition to Bitcoin’s price movement, other major altcoins like Ethereum (ETH), Ripple (XRP), and Cardano (ADA) saw impressive gains of 6% on the day, further signaling growing risk appetite across the crypto market. The total market capitalization of the leading stablecoins, USDT and USDC, remained robust above $200 billion, just short of their historical highs.

The positive momentum in the crypto market over the weekend may set the stage for potential gains in traditional markets when Wall Street opens on Monday.