Trump’s tariffs in 2025 and potential expansions in 2026 have created uncertainty in global trade, impacting financial markets and contributing to volatility.
Short-term crypto volatility is expected, with BTC, ETH, and XRP reacting to inflation concerns, interest rate expectations, and global trade tensions.
While prices may face initial pressure, cryptos could gain long-term interest as alternative stores of value amid inflation fears and market instability.
Trump’s 2026 tariffs might initially rattle the crypto market, especially if they trigger inflation concerns or delay interest rate cuts.
Bitcoin (BTC) is likely to move up and down as tariff news hits the market.
When investors play it safe, Bitcoin often drops along with the stock market.
On the flip side, worries about inflation could make it appealing again as a scarce, non-sovereign asset.
Ethereum (ETH) usually moves more sharply when liquidity shifts or investors get nervous.
Higher interest rates could slow the flow of capital into DeFi projects and other ETH-based applications.
Still, staking rewards and steady network growth might help keep prices supported.
Ripple (XRP) may stand out thanks to its role in international payments, particularly if trade between countries becomes trickier.
That said, any positive effects are likely to show up gradually.
For cryptocurrencies, this environment could result in increased volatility: short-term price pressure as investors move away from risky assets, but potential long-term interest in Bitcoin, Ethereum, and other digital assets as alternative stores of value amid inflation fears or broader financial market instability.
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