Trump's Tariffs Are BAD for Bitcoin

[pooya87]

it is likely to cause a massive spike in the cost of those products - particularly electronics and computers. This will slow the growth of technology, having ripple effects into bitcoin, since it trades like a technology stock and depends on technology for its infrastructure.

I don't see the relevance here. Bitcoin is not trading like anything in the world even though there are some similarities when we look at the charts. It also has nothing to do with price of electronics.

The chain of events these radical moves including tariffs have, start at the economy. With Trump destabilizing the global economy like this, he is creating a lot of uncertainty in addition to inflation and recession. We've already seen a similar situation during COVID19 pandemic and the effects of the economy in recession on bitcoin price.

[Ucy]

Has nothing to do with tarrif except for USD which is one of the very few things that link Bitcoin to centralized economy.

The market likely reacted the way it did to move against certain characters who were too optimistic or sure at the precise date price will move up... So it deliberately moved against their expectation to humble them. You can't be too sure when the market will move unless you have mastery of it which is impossible without relying on a Higher Power.

In regards to the tarrif being extreme, well you can't say so if it's used to balance out existing tarrif from other countries. It only becomes extreme if it's too one-sided.

[Tazzy4050]

That's a really interesting point about the potential impact of tariffs on Bitcoin. It's true that tariffs could slow down technological growth, which could, in turn, affect Bitcoin's infrastructure and development. 

However, it's important to remember that Bitcoin is a decentralized cryptocurrency, and its value is ultimately driven by market forces.  While tariffs might have a negative impact on the global economy and technology sector, it's not necessarily a direct threat to Bitcoin itself.

I think it's also worth considering that tariffs could potentially lead to increased demand for Bitcoin as a hedge against economic uncertainty.  If businesses and individuals are looking for ways to protect their assets from inflation and economic instability, Bitcoin could become an even more attractive option.

Ultimately, it's too early to say definitively how tariffs will affect Bitcoin.  It's a complex issue with a lot of potential consequences.  But it's definitely something to keep an eye on.

[Doan9269]

Why should a country be so strong in a way their president increased tariffs and the world or other countries are panicking about it? A single country should not have such a great power that United States has.

You're right, then maybe now is getting more closer to the time everyone of us have to realized that we needed to be of relevance with it comes to nation building, each country had better be thinking on how they could boost on their economy in other to help in situations like this, because the dominance of USD has gone so wide in such a way that any changes implemented as we have with the increase on the Tariff plan will cause a serious panic upon everyone countries concerned directly or indirectly.

[Josefjix]

This tariffs should help other countries to know that they should not just rely on countries like United States exports only.

Exactly, what would happen if a country export of goods and services exclude the relationship with United States of America and deal with others only, the results of this act will bring about the disintegration of US business gradually and I'm sure this would affect the US business structure and sales to be within the US only.

About it affecting bitcoin, I see it more as helping people to only buy bitcoin now at low price. Bitcoin will later increase which we have always know.

The price of Bitcoin are always affected by world class news which is not the first time this happening, the price always retraces back to normal whenever the news had settled down within some couple of months depending, that's how it works.

[Franctoshi]

At some point the whole situation is gonna calm down as Trump said countries are coming for Negotiations, Therefore,  From most of the interviews I have watched Trump responded to media on this issue, I got to understand that US has about 36 trillion dollars in deficit if I'm not wrong, So Trump kind of realised where this is coming from,  according to him that other countries like China, Canada ,Mexico and the European countries place tariffs on US goods or products whereas the US charge them little or nothing for theirs coming into the US, now he said the other countries has been rubbing them off through tariff and so many other reasons that he stated.


For the long term Trump mean well for the US if you zoom out and the money that's is going to come in will be put back into the system,  I really do not see that as bad judging from this angle.

It only will have short term effect on the market as investors are trying to catch the whole movie and a lasting solution to this between the US and other countries on this tarrif matter.

[Luzin]

Sooner or later, this spree will stop.

And the tarrifs will probably will become smaller, at least in the areas it will be needed.

Trump can't spike up the fear forever.

I think it has a lot of influence and it slows down the market to move better. There are two parts of Trump supporting crypto but his economic policies are slowing down Bitcoin's movement. Even this news made the price of bitcoin I think went down.

I think this policy has the effect of scared investors to invest in Bitcoin. Trum tried to become the king of the world with policies. So I read a lot of news that many countries are starting to want to negotiate regarding reciprocal tariffs. This condition seems to make Trum even more confident. I hope the effect is not long as well because BTC can always survive in an unstable economy and politics. I hope Crypto will still have the same cycle for this year.

[aylabadia05]

I think a lot of people who were originally in favor of increasing tariffs to encourage the reshoring of American manufacturing jobs are now questioning Donald Trump's tariffs because they are so extreme and punitive, especially toward allies. We are no longer in the 1950s and 1960s with large numbers of young workers ready to shift to manufacturing jobs, and assuming the U.S. did manufacture more of its products, it is likely to cause a massive spike in the cost of those products - particularly electronics and computers. This will slow the growth of technology, having ripple effects into bitcoin, since it trades like a technology stock and depends on technology for its infrastructure.

While an increase in tariffs could be justified, Trump is too extreme with the current rates.

Op. Does the title match the content of the topic?

Every country has a need for products or natural resources from other countries.
Each country’s concern may be that their exports will be lower than usual. And if the impact is there when the taxes are imposed, they should have their own ways and strategies to anticipate it.

Trump is upset that their products are not selling as much in other countries as Ford cars.
He said, related to the sale of cars made in Asian countries are sold in those countries with a large percentage and made in those countries. While US-made cars are not sold much and it is considered unfair as I read on BBC.

[atookz]

If Trump's tariffs go well, it will certainly have an impact on the US economy. So the dollar will strengthen. And this often causes a decrease in the price of Bitcoin because usually the price of BTC moves in the opposite direction to the USD. But if it triggers trade tensions and makes the global economy uncertain, investors often look for alternative assets, such as Bitcoin. This can be positive and cause the price of Bitcoin to rise. Trump's tariff policy can have a positive and negative impact on Bitcoin depending on how the market responds, so further analysis is still needed to be able to confirm it. Reading a lot of news will make us make decisions faster, so it would be better to continue to monitor developments that occur.

[avikz]

I think a lot of people who were originally in favor of increasing tariffs to encourage the reshoring of American manufacturing jobs are now questioning Donald Trump's tariffs because they are so extreme and punitive, especially toward allies. We are no longer in the 1950s and 1960s with large numbers of young workers ready to shift to manufacturing jobs, and assuming the U.S. did manufacture more of its products, it is likely to cause a massive spike in the cost of those products - particularly electronics and computers. This will slow the growth of technology, having ripple effects into bitcoin, since it trades like a technology stock and depends on technology for its infrastructure.

While an increase in tariffs could be justified, Trump is too extreme with the current rates.

Trump is playing with a two-edged sword, really! It's indeed not 1950 and we are in the era of globalisation and not centralisation! So the tariff plan is highly likely to backfire.

In a market where the competition is steep, every manufacturer will like to keep their costs low and keep alternate options available in hand. So many American manufacturers are not going shift their base to US. They may keep a small production facility in US to cater the local market to avoid high tax but shift their entire manufacturing facility elsewhere to cater the global market.

[Z-tight]

China has raised tariffs for U.S. goods to 84%, this is after the Trump administration raised tariffs on Chinese goods to 104%, nobody seems to be backing down from the trade war, and it is the consumers, businesses and the economy that will suffer the brunt of all of these.

Some people are even predicting that there could be a global recession if things take this course for a longer time, i am not sure how BTC would react with all of this if it goes on into the long term, if investors put their trust in BTC, then it will do fine, but if they trust other assets and pull their money out of the network, the price could crash.

[Haunebu]

This was all inevitable from the moment that clown got such insane power for the second time. If only grandpa Biden had done a better job as the president, the entire world wouldn't need to get into this extreme trade war shit.

Hoping that Trump's own people slowly and steadily turn on him one by one by growing brains so that they can remove this virus from power before the entire world goes to shit.

[suzanne5223]

The US President's tariff increase is not only bad for Bitcoin, it is bad for every sector, and I still don't get the reason behind the tariff increase when the US government already knows that countries like China are already in the game in some sectors. Besides, in the situation when the tariff increases leads to tariff battle an increase is not what we need, and  i glad that Trump pause it for sometime I just hope he will do the samething for Chinese.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        

[DYING_S0UL]

The US President's tariff increase is not only bad for Bitcoin, it is bad for every sector, and I still don't get the reason behind the tariff increase when the US government already knows that countries like China are already in the game in some sectors. Besides, in the situation when the tariff increases leads to tariff battle an increase is not what we need, and  i glad that Trump pause it for sometime I just hope he will do the samething for Chinese.                                                                                                                         

And at the end of the day, it's the average people who suffer the most! To be honest, it won't matter to Trump if tariffs are increased further or if China takes any action, this guy doesn't even care about these things! They are millionaires, billionaires! But for normal folks like us, those who never wanted any of this, we are the ones who will get hurt the most. We have already started to see the consequences! It's only a matter of time now. And not just in crypto, but in the stock market too, everywhere I look, I see only red!

[Cookdata]

I think a lot of people who were originally in favor of increasing tariffs to encourage the reshoring of American manufacturing jobs are now questioning Donald Trump's tariffs because they are so extreme and punitive, especially toward allies. We are no longer in the 1950s and 1960s with large numbers of young workers ready to shift to manufacturing jobs, and assuming the U.S. did manufacture more of its products, it is likely to cause a massive spike in the cost of those products - particularly electronics and computers. This will slow the growth of technology, having ripple effects into bitcoin, since it trades like a technology stock and depends on technology for its infrastructure.

While an increase in tariffs could be justified, Trump is too extreme with the current rates.

Many people don't understand this tarrif game fight. The way some countries are been hit with high tarrif is not reasonable and is not sustainable but there is something the United state are trying to do and that's they are trying to erase the system they started by themselves because they see it's no longer favour them, many countries makes more money selling items for Uinted state and the US want that to be stop, they want to be on the receiving side.

Now, I don't have probem on trying to adjust their system because they know for sure many counties can't do without them, what about countries that buy more of their items than what US consume and are been hit by 10% tarrif? Does that make any sense? What are they ar trying to make here because nothing seems fair here if you are going to be implementing high tarrifs on countries that are buying your products while you buy small from them, this is not business anymore but wickedness.

[l3pox]

Bitcoin still tracks the M2 closely, tariffs are inflationary in nature so you can do the math

at the end of the day it's not tariffs that will damage bitcoin, of course the president can make the market pump and dump in the short term but we know what happens in the long run, bitcoin will keep going up... simple

[mindrust]

Tariffs are bad for everybody in the short term but it will be good for the US in the long term if they can manage to cut their ties with China successfully. Since bitcoin acts almost parallel with the Nasdaq lately, it will follow the Nasdaq’s movement closely.

Btc is up 7% atm and the Nasdaq is up more than 10% because Trump put a pause on the tariffs. I don’t think that’s a coincidence.

[Moreno233]

I don't see the connection between the tariffs and Bitcoin, at least a direct connection even though that could create a lot of news that can inject volatility into the Bitcoin market. If you know any direct way the tariffs is affecting Bitcoin, you can as well tell us because such information was not provided in your post. As some of those countries are retaliating with their tariffs on US goods, what will the effect be on Bitcoin, I don't think there will be any because the tariffs are just flex of political powers that will not last as there will be a common ground and compromises sooner than ever. This that affect Bitcoin are interest rates, countries banning or approving Bitcoin and many other factors.

[Saint-loup]

I don't understand how it could be related to BTC actually, especially through a technology way, because the dip is supposed to be related to the decline of the new technologies sector and of the NASDAQ. I think many companies and individuals could use Bitcoin and other cryptocurrencies in order to escape tariffs when they make business together, so it should be the opposite logically. Bitcoin should benefit from these new political measures instead.

[KingsDen]

Why should a country be so strong in a way their president increased tariffs and the world or other countries are panicking about it? A single country should not have such a great power that United States has.

Countries all over the world should rethink and know that United States may even be a betrayal in the future if they continue to let things be in this way.

This tariffs should help other countries to know that they should not just rely on countries like United States exports only.

About it affecting bitcoin, I see it more as helping people to only buy bitcoin now at low price. Bitcoin will later increase which we have always know.

We shouldn't forget that America is the world power. And they are not ready to relinquish that to any country and not even China. Any decision America makes always take two dimensions;

• How it impacts America
• How it impacts the rest of the world

Some past presidents of America were lenient and considerate to the rest of the world. But Trump's ideology is simply America first.
So, the only viable way to solve this trade war is for countries to reinforce and face the war squarely.