Bullish Crypto Run Hit Pause Amid Sudden US Tariff Twist – Crypto News Flash
- Bitcoin’s momentum paused after sudden US tariff threats created uncertainty across both crypto and traditional markets.
- Retail sentiment shifted fast from euphoria to caution following back-to-back policy changes and market reactions.
It’s no secret that the crypto market can change direction with just one sentence from a politician. This time, it was President Trump’s turn to shake things up.
According to Santiment, after previously announcing a 50% tariff on products from the European Union, then suddenly postponing it until July 9, the market was immediately confused. Bitcoin, which had just caused a stir by hitting a record high of around $112,000, suddenly went limp again.
What made it even more interesting was the timing. Just a day after the media and retail investors cheered Bitcoin’s new record, news of the tariffs came like a shower of ice water. Bitcoin plunged around 4%, and altcoins were even worse.
From the data side, talk of tariffs immediately rose sharply, even to the highest since the big capitulation phase on April 7-9. At that time, market conditions were indeed battered, but that was precisely the ideal buying point for some experienced traders.
US Tariff Delays Reveal Fragile Market Psychology
If you feel like this situation is like deja vu, you are not alone. In the past seven weeks, Trump’s trade moves have been like a repeating pattern: make threats, create a stir, then pause. Sometimes it’s like a bargaining strategy, but for investors, the results are often unnerving.
The crypto market is no exception, which is now much more sensitive to the direction of economic policy than in its early days of freedom and unpredictability.
Funnily enough, despite being called a “protection” from economic uncertainty, Bitcoin often reacts like a high-risk technology stock. When bad news comes, investor confidence can immediately fade. Altcoins that were previously held tightly are slowly released. And it’s not just about price. Socially, sentiment among retail investors has also changed drastically, from excessive optimism to excessive caution.
However, when news of the tariff delay was announced, some traders immediately became brave again. The bullish narrative emerged again, as if they had forgotten what happened the day before. This shows one important thing: today’s crypto market reaction is not just about data, but also about mass psychology.
Bitcoin Holds Strong While Global Markets Waver
If we look at the technical side, CNF recently reported that Bitcoin has closed seven consecutive weeks with a green candlestick. For some analysts, this is a strong signal that the next target could break through the $155,601.73 mark.
At the time of writing, the BTC price is still stable at about $109,622, with a gain of 4.4% in the last 7 days and a market cap of around $2.17 trillion.
On the other hand, European stock markets are weakening, the euro is also losing steam, and the US futures index is also correcting. Usually, crypto does not always react to global economic news. But now? The story is different. When Trump called the EU “difficult to work with” and that the talks were “going nowhere,” all markets immediately responded, including crypto.
Furthermore, what is interesting about this situation is how public sentiment plays a role in shaping price movements. When the euphoria exploded after the record high on May 22, it was arguably the right time for profit-taking. But when fear peaked a day later, many actually did panic selling. Ironically, it was actually a buying moment for those who were calm.
Looking ahead, July 9 could be a defining day. If there is no new deal, the 50% tariffs may actually be imposed. The European Union has also signaled that it is ready to retaliate. If both go ahead, short-term volatility may increase again. And don’t forget, there is also a 90-day deadline for tariffs with China which could be an additional time bomb.
